Business, 30.03.2020 20:29 mercedesamatap21hx0
RRKCorporation. On that date, the stock price was $7 per share. On receiving the restricted stock, Dave made the §83(b) election. Daveâs restricted shares will vest at the end of year 2. He intends to hold the shares until the end of year 4 when he intends to sell them to help fund the purchase of a new home. Dave predicts the share price of RRK will be $30 per share when his shares vest and will be $40 per share when he sells them. Assume that Daveâs price predictions are correct and answer the following questions: (Enter all amounts as positive values. Leave no answers blank. Enter zero if applicable.)
a. What are Daveâs taxes due if his ordinary marginal rate is 30 percent and his long-term capital gains rate is 15 percent?b. What are the tax consequences of these transactions to RRK if its marginal rate is 35 percent?
Answers: 2
Business, 22.06.2019 04:40, mswillm
Dahlia enterprises needs someone to supply it with 127,000 cartons of machine screws per year to support its manufacturing needs over the next five years, and you’ve decided to bid on the contract. it will cost you $940,000 to install the equipment necessary to start production; you’ll depreciate this cost straight-line to zero over the project’s life. you estimate that in five years, this equipment can be salvaged for $77,000. your fixed production costs will be $332,000 per year, and your variable production costs should be $11.00 per carton. you also need an initial investment in net working capital of $82,000. if your tax rate is 30 percent and your required return is 11 percent on your investment, what bid price should you submit? (do not round intermediate calculations and round your final answer to 2 decimal places. (e. g., 32.16))
Answers: 3
Business, 22.06.2019 13:40, allytrujillo20oy0dib
Randall's, inc. has 20,000 shares of stock outstanding with a par value of $1.00 per share. the market value is $12 per share. the balance sheet shows $42,000 in the capital in excess of par account, $20,000 in the common stock account, and $50,500 in the retained earnings account. the firm just announced a 5 percent (small) stock dividend. what will the balance in the retained earnings account be after the dividend?
Answers: 1
RRKCorporation. On that date, the stock price was $7 per share. On receiving the restricted stock, D...
Mathematics, 20.03.2021 22:40