In view of the confused state of the law, as a tax advisor, youve been asked to draft a memo to your client. In the memo, detail how you would plan the capital structure of a corporation to avoid the risk of reclassification of debt as equity. From the standpoint of the tax advisor, is the vagueness of the law in this area preferable to more detailed bright line rules in the Code or Regulations? Which approach is preferable as a matter of policy?