Use the Following Information to Answer the Question(s)below

Multiple Choice

Use the following information to answer the question(s) below.
d'Anconia Copper has $200 million in cash that it can use for a share repurchase.Suppose instead that d'Anconia Copper invests the funds in an account paying 5% interest for one year.Assume that the corporate tax rate is 21%,the individual capital gains rate is 15% and the individual rate on ordinary income is 32%.
-The amount of additional cash that d'Anconia Copper will have at the end of the year net of corporate taxes is closest to:

A) $2.0 million.
B) $5.5 million.
C) $7.9 million.
D) $7.0 million.