During the current year, Kate sells her entire interest in Canner Corporation common stock for $23,000. She is the sole shareholder, and originally organized the corporation several years ago by contributing $101,000 in exchange for her stock, which qualifies as Sec. 1244 stock. Since its incorporation, Canner has been involved in the manufacture of items that protect personal computers from static electricity. Unfortunately, this market is extremely competitive, and canner Corporation incurs substantial losses throughout its existence. Read the requirements Requirement a. Assuming Kate is single, what are the amount and the character of the loss recognized on the sale of the Canner Corporation stock? (Complete all input fields. Enter a "0" for any zero balances.) Assuming Kate is single, she will recognize an ordinary loss of If Kate is single she will recognize a long-term capital loss of Requirement b. Assuming Kate is married and files a joint return, what are the amount and the character of the loss recognized on the sale of the Canner Corporation stock? (Complete all input fields. Enter a "0" for any zero balances.) Assuming Kate is married and files a joint return, she will recognize an ordinary loss of If Kate is married and files a joint return, she will recognize a long-term capital loss of Requirement c. How would your answer to Part a change if Kate had originally purchased the stock from another shareholder rather than organizing the corporation? (Complete all input fields. Enter a "0" for any zero balances.) If Kate had originally purchased the stock from another shareholder she will recognize an ordinary loss of If Kate had originally purchased the stock from another shareholder she will recognize a long-term capital loss of Requirement d. How might Kate have structured the transaction in Part a to receive a greater tax advantage? O A. By selling a portion of the stock (up to $50,000) in one year and the remaining stock (up to $50,000) in another year Kate could convert the entire loss on the sale to an ordinary loss. B. By selling all of the stock in the following year Kate could convert the entire loss on the sale to a capital loss. OC. By selling another capital investment at a gain Kate could offset the loss on the sale of Canner Corporation common stock. OD. By selling all of the stock in the following year Kate could convert the entire loss on the sale to an ordinary loss