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If the corporate tax rate is 21%, the individual ordinary income tax rate is 30%, and the individual divident income tax rate is 35%, how

If the corporate tax rate is 21%, the individual ordinary income tax rate is 30%, and the individual divident income tax rate is 35%, how many dollars of pre-tax corporate income are needed to generate $10 of after-tax interest income for a bondholder? Give your answer in dollars to the nearest penny.

Selected Answer:

20.41

Correct Answer:

14.29 0.01

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