D&L Corporation's Profit and Loss Statement Showed a Net Income

question 108

Essay

D&L Corporation's profit and loss statement showed a net income of 9 3/4% or $41 250. Twenty-one percent of net income was paid in corporation tax and 65% of the net income after tax was paid out as dividends to Cindi and Kelsey, who hold shares in the ratio 2 to 3.
a) What was the revenue of D&L Corporation?
b) How much was the after-tax income?
c) How much was paid out in dividends?
d) What percent of net income did Kelsey receive as a dividend?

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Definitions:

Vicariously Liable

A legal principle where one party is held responsible for the actions or negligence of another party, usually in employer-employee relationships.

Motor Vehicle Accident

A motor vehicle accident is an incident involving a collision between one or more vehicles, potentially causing injury, death, or property damage, often subject to legal investigation for liability and damages.

Integral Part

An essential or necessary component of a whole, without which the whole would be incomplete.

Accessory To It

Being an accessory to it refers to the legal culpability of a person who assists in the commission of a crime but does not actually participate in its commission as the main perpetrator.