**Please show computations

Ms. Xie, who is in the 37 percent tax bracket, is the sole shareholder and president of Xenon. The corporation's financial records show the following. Gross income from sales of goods Operating expenses Salary paid to Ms. Xie Dividend distributions $1,590,000 (930,000) (300,000) (200,000) a. Compute the combined tax cost for Xenon and Ms. Xie. (Ignore payroll tax.) b. How would your computation change if Ms. Xie's salary was $500,000 and Xenon paid no dividends? Compute the combined tax cost for Xenon and Ms. Xie. (Ignore payroll tax.) $ Xenon's tax Ms. Xie's tax on salary Ms. Xie's tax on dividend Total income tax cost 122,400 40,000 111,000 X 273,400 $ How would your computation change if Ms. Xie's salary was $500,000 and Xenon paid no dividends? Xenon's tax Ms. Xie's tax on salary Total income tax cost 185,000 185,000 $