Rutgers Rotisserie Corporation earned a profit in 2019. In 2020, its balance sheet, revenue, cost structure are exactly the same, EXCEPT the IRS reduces the corporate profits tax rate. Which of the following will be higher this year than last?

a) before tax profit
b) taxes
c) after-tax profit
d) change in cash

Answer:
c) after-tax profit
d) change in cash

Business

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