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Profit Sharing levels?? (White Giant)

Topics: Trade: Profit Sharing levels?? (White Giant)

Almohad117 (White Giant)

Friday, November 14, 2008 - 04:21 am Click here to edit this post
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.

JoKeRman (White Giant)

Monday, November 17, 2008 - 02:56 am Click here to edit this post
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.

Almohad117 (White Giant)

Monday, November 17, 2008 - 11:09 pm Click here to edit this post
Thanks. My corp tax is 0 and my profit sharing is 70%, so I might jack that up to 80% and see what happens.

Pathetic Sheep (White Giant)

Thursday, December 4, 2008 - 05:53 am Click here to edit this post
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.

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