Personal service corporations $($PSCs$)$ are taxed using:

a$.$ a progressive rate structure.

b$.$ a flat rate of $33\%.$

c$.$ a flat rate of $21\%.$

d$.$ a flat rate of $15\%.$

e$.$ a flat rate of $25\%.$

Where on the corporate tax return would you find a reconciliation of net income per books to taxable income before net operating loss and dividends received deduction $($DRD$)?$

a$.$ Schedule J

b$.$ Schedule L

c$.$ Schedule M$-1$

d$.$ Schedule M$-2$

e$.$ This reconciliation is not shown on the corporate tax return

Which of the following is not an organizational cost?

a$.$ State costs of incorporation

b$.$ Costs of organizational meetings

c$.$ Expenses of temporary directors

d$.$ Legal expenses for setting up the corporation

e$.$ Costs of issuing or selling stock

The sole shareholder of a corporation contributes land worth $$60,000$ to the corporation in exchange for stock worth $$45,000$ and $$15,000$ cash. The shareholder's basis in the land is $$28,000.$ The shareholder's recognized gain and basis in the shares of stock received on the exchange are:

a$.$ $$0$ and $$28,000,$ respectively.

b$.$ $$15,000$ and $$43,000,$ respectively.

c$.$ $$32,000$ and $$60,000,$ respectively.

d$.$ $$15,000$ and $$28,000,$ respectively.

e$.$ $$0$ and $$60,000,$ respectively.

Schedules L$,$ M$-1,$ and M$-2$ do not have to be completed by corporations with:

a$.$ less than $$250,000$ of total assets at the end of the year.

b$.$ less than $$250,000$ of total receipts for the year.

c$.$ total assets at the end of the year of at least $$250,000.$

d$.$ Both a$.$ and b$.$

e$.$ Both b$.$ and c$.$

The highest dividend received deduction is

a$.15\%$

b$.25\%$

c$.75\%$

d$.100\%$