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investment income that was part of the Affordable Care Act. ) ( Note: The tax rate on dividends for the Consalvos will be 1 5

investment income that was part of the Affordable Care Act.)
(Note: The tax rate on dividends for the Consalvos will be 15% and your calculations should ignore the 3.8% tax on
a. How many shares of the stock can the Consalvos buy?
b. How much will they receive after taxes each year in dividend income if they buy the stock?
c. What is the total amount they would have from their original $49,000 if they purchased the stock and all went as planned?
d. How much will they receive after taxes each year in interest if they purchase the bonds?
e. What is the total amount they would have from their original $49,000 if they purchased the bonds and all went as planned?
f. Based only on your calculations and ignoring other risk factors, should they buy the stock or the bonds?
a. The number of shares of the stock that the Consalvos can buy is
shares. (Round to the nearest whole number.)
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