Multiple Choice
If Julius has a 22 percent tax rate and a 8 percent after-tax rate of return, $55,000 of income in three years will cost him how much tax in today's dollars? Use Exhibit 3.1. (Round discount factor(s) to three decimal places.)
A) $9,607
B) $43,670
C) $12,100
D) $55,000
E) None of the choices are correct.
Correct Answer:
Verified
Correct Answer:
Verified
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