The expected pretax return on three stocks is divided between dividends and capital gains in the following way Expected Dividend Stock B $0 Expected Capital Gain $10 5 5 19 Required: a. If each stock is priced at $180, what are the expected net percentage returns on each stock to (1) a pension fund that does not pay taxes, (ii) a corporation paying tax at 21% (the effective tax rate on dividends received by corporations is 6.3%). and (ii) an individual with an effective tax rate of 15% on dividends and 10% on capital gains? b. Suppose that investors pay 50% tax on dividends and 20% tax on capital gains. If stocks are priced to yield an after-tax return of 8%, what would A, B, and C each sell for? Assume the expected dividend is a level perpetuity Complete this question by entering your answers in the tabs below. Req A ReqB If each stock is priced at $180, what are the expected net percentage returns on each stock to (1) a pension fund that does not pay taxes, (II) a corporation paying tax at 21% (the effective tax rate on dividends received by corporations is 6.3%), and (l) an individual with an effective tax rate of 15% on dividends and 10% on capital gains? (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places) Show less Stock Pension Investor Corporation Individual % % % A BE a. If each stock is priced at $180, what are the expected net percentage returns on each stock to (1) a pension fund that does not pay taxes, (l) a corporation paying tax at 21% (the effective tax rate on dividends received by corporations is 6.3%), and (l) an individual with an effective tax rate of 15% on dividends and 10% on capital gains? b. Suppose that investors pay 50% tax on dividends and 20% tax on capital gains. If stocks are priced to yield an after-tax return of 8%, what would A, B, and each sell for? Assume the expected dividend is a level perpetuity. Complete this question by entering your answers in the tabs below. Req A Req B If each stock is priced at $180, what are the expected net percentage returns on each stock to (1) a pension fund that does not pay taxes, (ii) a corporation paying tax at 21% (the effective tax rate on dividends received by corporations is 6.3%), and (ill) an individual with an effective tax rate of 15% on dividends and 10% on capital gains? (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.) Show less Stock Pension Individual Investor Corporation 4.16% 4.54% 4.93% 4.74% 4.61% 5.26% 5.26% 5.26% B 4.471% ReqB > Required: a. If each stock is priced at $180, what are the expected net percentage returns on each stock to (1) a pension fund that does not pay taxes, (i) a corporation paying tax at 21% (the effective tax rate on dividends received by corporations is 6.3%) and (iii) an individual with an effective tax rate of 15% on dividends and 10% on capital gains? b. Suppose that investors pay 50% tax on dividends and 20% tax on capital gains. If stocks are priced to yield an after-tax return of 8%, what would A, B, and C each sell for? Assume the expected dividend is a level perpetuity. Complete this question by entering your answers in the tabs below. Req A Req B Suppose that investors pay 50% tax on dividends and 20% tax on capital gains. If stocks are priced to yield an after-tax return of 8%, what would A, B, and C each sell for? Assume the expected dividend is a level perpetuity. (Do not round intermediate calculations. Round your answers to 2 decimal places.) Price Stock B