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IFSE Institute Canadian Investment Funds Course Exam CIFC Question # 10 Topic 2 Discussion

IFSE Institute Canadian Investment Funds Course Exam CIFC Question # 10 Topic 2 Discussion

CIFC Exam Topic 2 Question 10 Discussion:
Question #: 10
Topic #: 2

During the calendar year, Firmansyah received a $1,800 eligible dividend from a large Canadian bank and a $US dollar (USD) dividend of $882.02 from a foreign-based corporation. The USD/CAD exchange rates is 1.3605.

Firmansyah's federal marginal tax bracket is 29%. The enhanced dividend gross-up rate is 38% and the federal dividend tax credit rate for eligible dividends is 15%.

What federal tax liability will be result from his investment income?


A.

$522.00


B.

$348.00


C.

$695.76


D.

$870.00


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