My assignment is to find the most advantageous capital structure of a new corporation. The corporation was formed to provide technology to the medical profession, which was done to facilitate compliance with the Health Insurance Portability and Accountability Act (HIPAA). I have to prepare a formal letter to the client using the six step tax research process. What are the advantages and disadvantages of debt for capital formation. what are the advantages and disadvantages of equity for capital formation of a corporation. Compare the tax advantages of debt vs. equity capital formation of the corporation. Recommend whether he/she should use debt or equity for capital formation of the new corporation based on the research. provide a rationale for my response.