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Score: 0 of 1 pt 10 of 26 (13 complete) > HW Score: 36.5 P 17-10 (similar to) Que You purchased CSH stock for $37

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Score: 0 of 1 pt 10 of 26 (13 complete) > HW Score: 36.5 P 17-10 (similar to) Que You purchased CSH stock for $37 and it is now selling for $49 The company has announced that it plans a $12 special dividend a. Assuming 2016 tax rates of 15% on dividends and capital gains, if you sell the stock or want and receive the dividend, will you have different after tax income? b. If the capital gains tax rate is 20% and the dividend tax rate is 42%, what is the difference between the two options in parta? a. Assuming 2016 tax rates of 15% on dividends and capital gains, you sell the stock or wait and receive the dividend, will you have different after tax income? (Select trom the drop down menu) Assuming 2016 tax rates are 15% on capital gain and 15% on dividends, if you sell the stock or wat and receive the dividend you have different after tax income Score: 0 of 1 pt 12 of 26 (13 completo) HW Score: 36.54%, 9.5 of 26 pts P 17-12 (similar to) Question Help Clovis Corporation has 5540 million in cash, 104 milion shares outstanding, and a current share price of 532 Clovis i deciding whether to use the $5408 milion to pay an immediate special dividend of 56 20 per share or to retain and invest it at the risk free rate of 10% and use the $5.41 milion in interest and to increases regularan dividend of $0.52 per share. Assume perfect capital markets Suppose Clovis pays the special dividend. How can a sholder who would prefer an increase in the regular dividend create it on her own? b. Suppose Clovis increases is regular dividend How can a shareholder who would prefer the special dividend create it on her own? Suppose Clovix pays the special dividend. How can a shareholder who would prefer an increase in the regular dividend create on her own? (Select the best choice below) O A. Sel a share of Clovis stock for $32 today and invest the proceeds to cam 53.20 in interest OB Borrow $32 today and use it to buy a share of Clovis stock OC. Invest the $5.20 special dividend and can interest of $0 52 per you OD, Borrow $5.20 today and use the increase in the regular dividend to pay the rest of $0.52 per year on the loan

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