A corporation 's taxable income is $1,500,000 If it distributes its after tax income to its shareholders whose dividend tax rate is 15 percent, what are the total tax and the combined effective tax rate on corporate income ...

658500 total tax and 439 effective rate 1500 ...

A corporation's taxable income is $1,500,000. If it distributes its after-tax income to its shareholders whose dividend

Question:

A corporation's taxable income is $1,500,000. If it distributes its after-tax income to its shareholders whose tax rate is 15 percent, what are the total tax and the combined effective tax rate on corporate income?
Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...