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Please provide assistance on the below question, please note its ONE question but has different parts. thank you The expected pretax retum on three stocks

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Please provide assistance on the below question, please note its ONE question but has different parts. thank you

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The expected pretax retum on three stocks is divided between dividends and capital gains in the following way: Expected Capital Stock Expected Dividend Gain A $0 $10 5 5 10 Required: a. If each stock is priced at $140, what are the expected net percentage returns on each stock to (i) a pension fund that does not pay taxes, (ii) a corporation paying tax at 21% (the effective tax rate on dividends received by corporations is 6.3%), and (iii) an individual with an effective tax rate of 15% on dividends and 10% on capital gains? b. Suppose that investors pay 50% tax on dividends and 20% tax on capital gains. If stocks are priced to yield an after-tax return of 8%, what would A, B, and C each sell for? Assume the expected dividend is a level perpetuity. Complete this question by entering your answers in the tabs below. Req A Req B If each stock is priced at $140, what are the expected net percentage returns on each stock to (i) a pension fund that does not pay taxes, (ii) a corporation paying tax at 21% (the effective tax rate on dividends received by corporations is 6.3%), and (iii) an individual with an effective tax rate of 15% on dividends and 10% on capital gains? (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.) Show less A Stock Pension Investor Corporation Individual A % % B % C % % The expected pretax retum on three stocks is divided between divrdends and capital gains in the following way: Expected Capital Stud: Expected Dividend (351 A $0 $10 B 5 5 C 10 U l Required: a. if each stock is priced at $140, what are the expected net peroentage returns on each stock to (i) a pension fund that does not pay taxes, (ii) a corporation paying tax at 21% (the effective tax rate on dividends received by corporations is 6.3%), and (iii) an individual with an effective tax rate of15% on dividends and 10% on capital gains? [1. Suppose that Investors pay 50% tax on dividends and 20% tax on capital gains. If stocks are priced to yield an atteptax return of 3%, what would A, B, and C each sell foriAssume the expected dividend is a level perpetuity, Complete this qumon by entering wur answers in the labs below. Rqu Suppose that investors pay 50% tax on dividends and 20% tax on capital gains. If stocks are priced to yield an aftertax retum of 8%, what would A, B, and C each sell for? Assume the expected dividend is a level perpetuity. (Do not round intermediate calculations. Round your answers to 2 decimal places.) 5.... IE- A _ s c

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