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Business, 14.05.2021 17:50 dblakes43

Jack Flubber, who owns Sons of Flubber Construction Co., and runs it as a proprietorship, had gross profits last year of $120,000. He has $7,000 in exemptions and deductions. He paid $30,000 in taxes. If he paid himself a salary of $65,000 and a dividend of $15,000 taxed at 20%, how much he would save if he decided to incorporate as a closely held corporation with a 25% tax rate (choose the closest answer)

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Jack Flubber, who owns Sons of Flubber Construction Co., and runs it as a proprietorship, had gross...
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