Purple Company has $200,000 in net income for 2022 before deducting any compensation or other payment to its sole owner, Kirsten. Kirsten is single and she claims the $12,950 standard deduction for 2022 (she has no other deductions). Purple Company is Kirsten's only source of income. Ignoring any employment tax considerations, compute Kirsten's after-tax income for each of the following situations. Click here to access the 2022 individual tax rate schedule to use for this problem. Assume the corporate tax rate is 21%. When required, carryout intermediate tax computations to the nearest cent and then round your final tax liability to the nearest dollar. a. Purple Company is a proprietorship and Kirsten withdraws $50,000 from the business during the year; Kirsten claims a $37,410 deduction for qualified business income. Kirsten's taxable income is $ 149,640 , and her after-tax income is 170,251 . Feedback Check My Work Business operations can be conducted in a number of different forms. Among the various possibilities are the following: Sole proprietorships; Partnerships; Trusts and estates; S corporations; Regular corporations and Limited liability companies. For Federal income tax purposes, the distinctions among these forms of business organization are very important. b. Purple Company is a C corporation and the corporation pays out all of its after-tax income as a dividend to Kirsten. Note: Individual taxpayers received preferential treatment regarding the taxation of qualified dividends (0%, 15%, 20%). For single taxpayers, the 0 percent rate applies to the first $41,675 of taxable income. Purple Corporation's after-tax income is 158,000 and Kirsten's after tax income is $ c. Purple Company is a C corporation and the corporation pays Kirsten a salary of $158,000. Purple Corporation's after-tax income is $ 33,180 and Kirsten's after-tax income is