Compute the after tax cash from the contract assuming that


Company G, which has 30% marginal tax rate, owns a controlling interest in company J, which has a 12% marginal tax rate. Both companies perform engineering services. Company G is negotiating a contract to provide services for a client. Upon satisfactory completion of services, the client will pay $85,000 cash.

Compute the after tax cash from the contract assuming that Company G is the party to the contract and provides the services to the client?

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Taxation: Compute the after tax cash from the contract assuming that
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