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Sue Smith received $100 dividends, which are subject to a gross-up factor of 45% and a dividend tax credit of 19% on taxable dividends. Sue

Sue Smith received $100 dividends, which are subject to a gross-up factor of 45% and a dividend tax credit of 19% on taxable dividends. Sue Smith has a marginal federal tax rate of 29%. The dividend tax credit is:

i) $29.00

ii) $27.55

iii) $25.00

iv) $16.67

v) $13.33

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