Tax loopholes increase the progressivity of the federal income tax.

Often single-owner proprietorships seem more profitable than they really are. The reason for this is that

A) they receive special tax benefits compared to corporations. B) they use different accounting procedures. C) they often fail to consider the opportunity cost of the labor provided by the owner. D) they are not allowed to deduct depreciation expense.

According to fundamental analysis, a saver should prefer to buy stocks that are

a. undervalued. This means the price of the stock is low given the value of the corporation. b. undervalued. This means the value of the corporation is low given the price of stock. c. overvalued. This means the price of the stock is high given the value of the corporation. d. overvalued. This means the value of the corporation is high given the price of stock.