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Becky and Jim are going to start a tech company business that they will both participate in on an active basis. They have enough money

Becky and Jim are going to start a tech company business that they will both participate in on an active basis. They have enough money saved to finance the business. Limited liability is a significant factor for the business. It is equally important to minimize income taxes.They have decided not to do business as a sole proprietorship.Annual earnings of the business are expected to be $200,000 before taxes. All profits after tax will be paid to Becky and Jim. Assume Becky and Jim are both single and have a marginal tax rate of 28%. Please advise them on the choice of business entity.

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