chapter 1 analytical Flashcards
helen owns 10.2% of the stock of the median corporation. if median makes a dividend payment of $25,000,000 paid proportionally to its shareholders, how much of this amount would Helen receive, disregarding tax?
$2,550,000
valiant corporation is a C corporation that earned $3.4 per share before it paid any taxes. valiant corp retained $1 of after-tax 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 after-tax by a holder of 100,000 shares of valiant corp?
$105,875
you are a shareholder in a corporation which has elected subchapter S tax treatment. the corporation announces a profit of $6 per share, of which it retains $1 for reinvestment and distributes the rest as dividend payments. given that the personal tax rate is 35%, how much tax must you pay per share?
$1.75
a C corporation earns $8.30 per share before taxes. the corporate tax rate is 39%, the personal tax rate on dividends is 15%, and the personal tax rate on non-dividend income is 36%. what is the total amount of taxes paid if the company pays a $6 dividend?
$4.14
an S corporation earns $9.10 per share before taxes. the corporate tax rate is 39%, the personal tax rate on dividends is 15%, and the personal tax rate on non-dividend income is 36%. what is the total amount of taxes paid if the company pays a $5 dividend?
$3.28
a C corporation earns $8.30 per share before taxes and the company pays a dividend of $4 per share. the corporate tax rate is 39%, the personal tax rate on dividends is 15%, and the personal tax rate on non-dividend income is 36%. what is the after-tax amount an individual would receive from the dividend?
$3.40
a C corporation earns $4.30 per share before taxes. the corporate tax rate is 35%, the personal tax rate on dividends is 20%, and the personal tax rate on non-dividend income is 39%. what is the total amount of taxes paid if the company pays a $3 dividend?
$2.11
an S corporation earns $6 per share before taxes. the corporate tax rate is 35%, the personal tax rate on dividends is 20%, and the personal tax rate on non-dividend income is 39%. what is the total amount of taxes paid if the company pays a $2 dividend?
$2.34
stella places a market order with her broker to buy 1,000 shares of OneWold Corp. the broker buys 1,000 shares at $15.80 each, and sells them to stella at $15.95 each. he also charges a commission of $12.00. what is bid ask spread in this case?
$150
