1. John buys a stock for $7,000 which he sells for $8,000 after holding it for 4 years. He received an annual dividend of $300 which was paid to him semi-annually. He reinvested the dividends after they were received in a GIC earning 3%. His marginal tax rate on dividends is 19% and on regular income is 36%. Inflation averaged 2% throughout his holding period. What was Johns after-tax EAR