A C Corporation Earns $4

question 35

Multiple Choice

A C corporation earns $4.50 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 $2.00 dividend?

• A)$0.90
• B)$1.58
• C)$1.98
• D)$2.48

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Definitions:

Inflammatory Response

The body's defense mechanism against infection and injury, resulting in redness, warmth, swelling, and pain.

Vascular Reaction

The body’s response involving blood vessels, which can include changes in size, permeability, or blood flow, often in reaction to injury or inflammation.

Wound Blanching

A phenomenon where pressure applied to an area of skin turns it white, indicating good blood flow or the effectiveness of a dressing in wound care.

Foley Catheter

A flexible tube inserted into the bladder to provide continuous urinary drainage.