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Jump over the Moon (JOM) is a C corporation that earned $5.70 per share before it paid any taxes. JOM kept $2.40 of after-tax earnings
Jump over the Moon (JOM) is a C corporation that earned $5.70 per share before it paid any taxes. JOM kept $2.40 of after-tax earnings for reinvestment and distributed the remaining. If the corporate tax rate was 30% and dividend earnings were taxed at 10%, what was the value of the total after-tax dividends received by a holder of 20,000 shares of JOM?
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