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What is the amount of additional tax per share to be paid

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Question - XYZ Ltd in Australia earns a pretax profit of $A4 per share. Corporate tax is 30 percent. It pays 50% of its profit after tax as dividend. What is the amount of additional tax per share to be paid by a shareholder in the 45% marginal tax bracket under an imputation tax system?

a. $A0.90

b. $A0.30

c. $A1.80

d. $A0.60

Reference no: EM132987733

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What is the amount of additional tax per share to be paid

Reference no: EM132987733

Reference no: EM132987733

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