Penguin Corporation,a C Corporation,has Two Equal Shareholders,Bob and Leo

question 1

Multiple Choice

Penguin Corporation,a C corporation,has two equal shareholders,Bob and Leo.Penguin earned $100,000 net profit during its first year of operations and paid a dividend of $50,000 to each shareholder.Before considering the dividend,Bob is in the 10% marginal tax bracket and Leo is in the 28% marginal tax bracket.Which of the following statements is incorrect?

• A)$100,000 will be subject to double taxation.
• B)Penguin could have avoided paying corporate tax if, instead of paying a dividend, it had paid Bob and Leo a salary of $50,000 each (assuming a $50,000 salary for each is reasonable).
• C)A preferential tax rate will apply to the dividend income of both Bob and Leo.
• D)If Penguin had paid Bob and Leo a salary of $50,000 each, Bob would have paid less Federal income tax on his salary than Leo would have paid on his salary.
• E)None of the above.

Learn about the effects of large-scale projects on water displacement and ecosystems.

Understand the principles behind water conservation techniques and infrastructure.

Acknowledge the relationship between water usage patterns and water-saving measures in residences.

Recognize the impact of agricultural practices on water demand and supply.

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Definitions:

Structural Job Resources

The physical, informational, and social assets available to employees that help them achieve work goals and reduce job demands.

Job Characteristics

Attributes or aspects of a job that can influence an employee's work motivation, satisfaction, and performance.

Challenging Assignments

Tasks or projects that require significant effort, skill, and creativity, often used for development and learning.

Broaden Skills

The process of expanding one's abilities and competencies to be capable of performing a wider range of tasks or roles.