The Bancroft Company is currently structured as an income trust. It is considering restructuring the company to become a corporation, but is unsure if this would benefit shareholders. Company executives have asked for your advice. They tell you that the corporate tax rate is 35 percent, last year’s net income before tax was $500,000 and there are 10,000 outstanding shares. If the company decides to restructure into a corporation, one income trust unit will become one share. From your experience doing your own tax returns, you know that dividends are taxed at 23 percent and income and interest income are taxed at 48 percent. Is it worth it for the Bancroft Company to restructure into a corporation? If so, how much more would an investor gain if that investor owned 2000 shares?