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Question 5 (4 points) The income before tax (EBIT) of Warrington's S-corporation is $50,000. The board decides to retain 40% of it in the business.

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Question 5 (4 points) The income before tax (EBIT) of Warrington's S-corporation is $50,000. The board decides to retain 40% of it in the business. What is the total tax to be paid if corporate tax rate and personal income tax rate are 40% and 10% respectively

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