Question: please help with the following problem You are a shareholder in a C corporation. The corporation earns $20 per share before taxes. Once it has
You are a shareholder in a C corporation. The corporation earns $20 per share before taxes. Once it has paid taxes, it will distribute the rest of its earnings to you as a dividend. The corporate tax rate is 33%, and the personal tax rate on dividend income is 45%. How much is left for you after all taxes are paid? The amount that remains is $ per share, (Round to 2 decimals.) Answer You invest $1,000 in a project today. The project will generate a one-time cash flow of $2601 five years from now. If the interest rate is 3%, what is the Net Present Value of the project? (Round to 2 decimal places)
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