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In November 2024, Lily informed you that she needs additional cash flow to meet her personal debt obligations. Lily does not want to sell more

In November 2024, Lily informed you that she needs additional cash flow to meet her personal debt obligations. Lily does not want to sell more stock than she needs to because she wants appreciation within the stock market. Lily also wants to reduce her tax burden. The stock market has been stable, and it is assumed that the fair market value in November is representative of the fair market value throughout the next 12 months. Lily's marginal tax rate is 37%, and her capital gains tax rate is 20%. Stock Date Purchased Tax Basis Fair Market Value Fuchsia Inc. 3/15/2020 $50,000 $75,000 Grey Corp. 1/12/2024 $21,000 $5,000 Blue Corp. 6/26/2024 $75,000 $95,000 Magenta Inc. 2/10/2019 $55,000 $45,000 Green Corp. 10/22/2024 $60,000 $65,000 Beige Inc. 10/24/2024 $72,000 $55,000 Mauve Inc. 8/18/2018 $35,000 $80,000 2a. Lily has asked you to advise her on the stock to sell on December 15, 2024. Selling which combination of stock results in the least cash tax cost? a. Fuchsia Inc., Magenta Inc., and Beige Inc. b. Mauve Inc., Fuchsia Inc., and Magenta Inc. c. Green Corp., Fuchsia Inc., and Blue Corp. d. Blue Corp., Grey Corp, and Fuchsia Inc

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