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Strategies & Market Trends : MDA - Market Direction Analysis
SPY 662.63+0.4%Nov 19 4:00 PM EST

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To: Benkea who wrote (28898)10/9/1999 1:54:00 PM
From: Logain Ablar  Read Replies (1) of 99985
 
Benkea:

RE: Buffett. Remember corporations capital gain rate is 35% long or short term plus add 5% for state. Unlike individuals 20% L/T.

If you assume he likes a stock long term like KO and its @ 70 with a 10 cost it would have to go to $46 (his net cash AT) before he'd break even. (I know this is only one way to look at it but it is one important factor in the investment decision).

Tim
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