Discuss the salary increase

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Reference no: EM13517134

Cindy is President and sole shareholder of Chipsmart Corporation. Through her hard work (frequently putting in 70 hours per week), she has managed to triple the number of clients and revenue in the past year. Chipsmart has never paid a dividend to Cindy, although it does have retained earnings. Last year, Cindy's salary was $200,000; this year, due to her success, she would like to pay herself a $600,000 salary. As Chipsmart's tax adviser, prepare a list of questions you would like to ask Cindy when you meet her to discuss the salary increase.

Reference no: EM13517134

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