Assume that Provident Health System, a for-profit hospital, has \($1\) million in taxable income for 2016, and its tax rate is 30 percent.

a. Given this information, what is the firm’s net income? (Net income is what remains after taxes have been paid.)

b. Suppose the hospital pays out \($300,000\) in dividends. A shareholder, Carl Wu, receives \($10,000\). If Carl’s tax rate on dividends is 15 percent, what is his aftertax dividend?