Nancy recently received an offer for the shares of her corporation, Eager Beaver Consultants Ltd....
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Accounting
Nancy recently received an offer for the shares of her corporation, Eager Beaver Consultants Ltd. Nancy's shares have an ACB of $600,000. The shares of the Company do not qualify for the capital gains deduction. Although Nancy would like to sell her shares and retire, she will only sell her shares if her after tax retention from the sale totals at least $2 million. Assuming that Nancy's combined federal and provincial marginal income tax rate is 50%, what is the minimum price Nancy should accept for her shares? $3,400,000. $2,466,667. $4,600,000. $2,840,000
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