Question: how do i do part a Homework #8 worth 23 points Week 10 - Cooperative Finance: Patronage 1. In this question, you will use some

 how do i do part a Homework #8 worth 23 points

how do i do part a

Week 10 - Cooperative Finance: Patronage 1. In this question, you will

Homework #8 worth 23 points Week 10 - Cooperative Finance: Patronage 1. In this question, you will use some "high level" information to calculate the impact of various patronage income distribution decisions on the patron and the cooperative. Below is a table with 3 different scenarios. Use the information in the table to answer the questions below: Scenario 1 Scenario 2 Scenario 3 Patronage Income $10,000,000 $10,000,000 $10,000,000 Percent Allocated to the Patron 100% 30% 67% Percent Qualified Distribution 100% 100% 100% Percent Non-Qualified Distribution 0% 0% 0% Percent Cash Paid 50% 100% 50% Percent Retained Patronage (Qualified) 50% 0% 50% Percent Retained Patronage (Non-Qualified) 0% 0% 0% Hint: To complete the questions below, refer to slides 3 and 11 of the PowerPoint presentation in this week's module, and the whiteboard video. Just plug in and calculate. Assume the tax rate for both the patron and cooperative is 38 percent a) Using the numbers in "Scenario 1', calculate the (1) patron's after-tax payment: (2) cooperative's total cash outlay: (3) additional amount of allocated equity: (4) additional amount of unallocated equity

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