Geneva,a Sole Proprietor,sold One of Her Business Assets for a $20,000

Multiple Choice

Geneva,a sole proprietor,sold one of her business assets for a $20,000 long-term capital gain.Geneva's marginal tax rate is 35%.Gulf,a C corporation,sold one of its assets for a $20,000 long-term capital gain.Gulf's marginal tax rate is 35%.What tax rates are applicable to these capital gains?

A) 15% rate applies to both Geneva and Gulf.
B) 15% rate applies to Geneva and 35% rate applies to Gulf.
C) 15% rate applies to Gulf and 35% rate applies to Geneva.
D) 35% rate applies to both Geneva and Gulf.
E) None of the above.