(SOLVED) One year ago you purchased 100 shares of Dog Bites


Question Description:

$19

One year ago you purchased 100 shares of Dog Bites common stock for $25. You received dividends of $.70 per share and just sold the shares for $26.25 each. What are your before – and after-tax rates of return? Your marginal personal tax rate is 40%, your dividend tax rate is 30%, and capital gains are taxed at 50% of your personal rate.

Answer

$19