The owner of Internet City is trying to decide whether to remain a proprietorship or to incorporate. Suppose that the corporate tax rate on profits is 20 percent and the personal income tax rate is 30 percent. For simplicity, assume that all corporate profits (after corporate taxes are paid) are distributed as dividends in the year they are earned and that such dividends are subject to tax at the personal income tax rate. Part 2 If the owner of Internet City expects to earn $132 comma 000 in before-tax profits this year, regardless of whether the firm is a proprietorship or a corporation, which method of organization should be chosen? Either one Corporation Proprietorship . Part 3 What is the dollar value of the after-tax advantage of this form of organization? $ enter your response here. Part 4 Suppose that tax policy is changed to completely exempt from personal taxation the first $28 comma 000 per year in dividends (or profits), which method of organization should be chosen? Either one Corporation Proprietorship . Part 5 Suppose that the corporate form of organization has cost advantages that will raise before-tax profits by $50 comma 000. Should the owner of