Fi515 Excel Assignment

Week 1 Assignments

Problem 2-6

How much in dividends was pay to sh areholders during the year?

Dividend paid = Previous Bal Ret Earning + Net Income - spic-and-span Balance Ret Earning

Net Income$50,000,000
well-kept Earning$810,000,000
Previous Retained Earning$780,000,000

Dividend =$20,000,000


Problem 2-7

What are the firms income tax liability and its after-tax income?
What are the companys bare(a) and average tax rates on ratable income?

For a corporation 70% of the dividends received are excluded from taxes, so taxable
dividends are calculated with the remained 30%(Pg 72 of book)

taxable operate Income$365,000
evaluateable Interest($50,000)
Taxable Dividend Received$4,500
Total Taxable Income$319,500

The marginal tax rate is 39%(Corp Tax tabulate Pg 71)
The non taxable dividends are :$15,0000 * 0.7$10,500
Tax Liability =$107,855
After Tax Income:
Taxable Income$319,500
Taxable ($107,855)
Non Taxable Dividend Received $10,500
Net Income$222,145

norm Tax respect = Taxable Interest Income/Taxable direct Income
107855 / 319500 = .337574 * 100%
33.7574 = 33.76%
Average Tax Rate is 33.



8%

Problem 2-9

fuck off the after-tax rates of return on all three securities

come out $10,000
AT&T perplexs7.50%
State of Florida muni bonds5%
AT&T Preferred Stock 6%
Corporate Tax Rate 35%

AT&T Bond = $750.00
Taxes = 750*.35 = $262.50
$487.50
try AT&T Bond =0.04875
Yield AT&T Bond =4.88%

AT&T Preferred Stock = $600.00
Tax resistance 70% = $420.00
Taxable = $180.00
Taxes = $63.00
$537.00
Yield = 0.0537
Yield AT&T Preferred Stock5.37%

State of Florida Muni Bonds =5%
Muni Bonds = $500
These are not taxable so no tax deductions
Yield = 0.05
Yield State of Florida muni bonds = 5%If you want to get a full essay, order it on our website: Orderessay



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