Understanding taxes From a corporation's point of view, does the tax treatment of dividends and Interest paid favor the use of debt financing or equity financing? O Debt financing O Equity financing You bought 1,000 shares of Tund Corp. stock for $77.25 per share and sold it for $75.00 per share within the same year. How will your gain or loss be treated when you file your taxes? As a capital loss deducted from current taxable income As a capital gain taxed at the current ordinary-income tax rate As a capital loss taxed at the long-term tax rate O As a capital loss deducted from taxable income in the year that the loss is realized Suppose you want to invest $10,000. You have two options: (1) Invest in California municipal bonds with an expected rate of return of 12.00%, or (2) Invest in J and K Corp.'s bonds with an expected rate of return of 18.00%. Assume that your decision is based on a tax perspective. If everything else Is the same for both bonds, at what tax rate would you be Indifferent between these two bonds? O 33.33% 0 41.66% 0 28.33% O 30.00% According to a tax law established in 1969, taxpayers must pay the of the Alternative Minimum Tax (AMT) or regular tax. The applicable tax rate for S corporations is based on the O Corporate tax rate Stockholders' Individual tax rates