You own 100 shares of a "C" corporation. The corporation earns $4.00 per share before taxes. Once the corporation has paid any corporate taxes that are due, it will distribute the rest of its earnings to its shareholders in the form of a dividend. If the corporate tax rate is 20% and your personal tax rate on (both dividend and non-dividend) income is 20%, then how much money is left for you after all taxes have been paid?

$320

Explanation:

Given the following ;

Number of shares = 100

Earning per share = $4

Corporate tax rate = 20%

Individual tax rate(dividend and nin-dividend) = 20%

Income accrued by shareholders of a corporation are subjected to double taxation, first is the corporate tax paid by the corporation and then the personal tax paid individually after shareholders have received their dividend.

Total earning = earning per share × number of shares

Total earning = $4 × 100 = $400

Personal tax rate of 20% (dividend and non-dividend)

Tax amount = (20 ÷ 100) × $400

Tax amount = 0.2 × $400 = $80

Amount left after taxes = $400 - $80 = $320

is the answer

explanation:

both are integral parts of a corporate balance sheet. the cash flow statement, or statement of cash flows, measures the sources of a company's cash and its uses of cash over a specific time period. the income statement measures a company's financial performance, such as revenues, expenses, profits or losses over a specific time period (in fact, it's sometimes called a statement of financial performance).

a cash flow statement shows exactly how much money a company has received and how much it has spent, traditionally over a period of one month. it captures the current operating results and changes on the balance sheet, such as increases or decreases in accounts receivable or accounts payable, and does not include noncash accounting items such as depreciation and amortization. the cash flow generally comes from revenue received as a result of business activity, but it may be augmented by funds available as a result of credit. a cash flow statement is used to determine the short-term viability and liquidity of a company, specifically how well it is positioned to pay its bills and vendors.