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Valiant Corp. is a C corporation that earned $3.3 per share before it paid any taxes. Valiant Corp. retained $1 of aftertax earnings for reinvestment
Valiant Corp. is a C corporation that earned $3.3 per share before it paid any taxes. Valiant Corp. retained $1 of aftertax earnings for reinvestment and distributed what remained in dividend payments. If the corporate tax rate was 35% and dividend earnings were taxed at 12.5%, what was the value of the dividend earnings received aftertax by a holder of 100,000 shares of Valiant Corp.?
A. $80,160
B. $140,280
C.$120,240
D. $100,200
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