Question
Suppose pre-tax earnings are $100,000.00 and the corporate tax rate is 42%. How much additional money can a business owner receive by declaring the earnings
Suppose pre-tax earnings are $100,000.00 and the corporate tax rate is 42%. How much additional money can a business owner receive by declaring the earnings as personal income which is taxed at a rate of 31%?
| a. | $11,000.00 |
| b. | $42,000.00 |
| c. | $31,000.00 |
| d. | $3,200.00 |
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Management Information Systems Managing the Digital Firm
Authors: Kenneth C. Laudon, Jane P. Laudon
15th edition
134639715, 978-0134639710
