Simcountry
Forum Trade Profit Sharing levels?? (White Giant)

Profit Sharing levels?? (White Giant)

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Almohad117 (White Giant)

All worlds
14 Nov 2008 04:21Link
I don't quite understand profit sharing with corps that a country owns. Doesn't any surplus cash any corp has at the end of its budget cycle go back to the owner anyway? So what does it matter what level it 'shares' its profits at? Anything it has will go to the owner (the state) anyway.
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JoKeRman (White Giant)

All worlds
17 Nov 2008 02:56Link
I used to have mine set to 0%, and I just let the corps do automatic transfers to me, But A rule i once heard was that
Your tax percentage + profit sharing = 80%.
That way the corps can keep 20% to run off of.
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Almohad117 (White Giant)

All worlds
17 Nov 2008 23:09Link
Thanks. My corp tax is 0 and my profit sharing is 70%, so I might jack that up to 80% and see what happens.
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Pathetic Sheep (White Giant)

All worlds
04 Dec 2008 05:53Link
Cash counts toward a corporation's assets. If a state corporation keeps the cash the market value increases.

The P/E ratio is calculated based on net profit. If the company is making profit payments the P/E ratio goes up. The P/E ratio determines if investment funds buy or sell the corporation stock.