Summary Corporate Finance

Summary Corporate Finance (Berk & DeMarzo) Chapter 1: The corporation Theoretisch Chapter. 1.1 four types of firms Tax implications for corporate entities: Classical system First, the corporation pays tax on its profits. Then the remaining profits are distributed to the shareholders who pay their own personal income tax on this income. S corporations(in US) alternative system, that is not subject to double taxation. - the shareholders must be U.S. citizens - no more than 100 of t...