Madeleine invested in stock A and in stock B in March 2021. A year later, she is trying to decide which one of the two to sell this year and decided to sell the one with the highest rate of return. Based on the information provided, which one of the two stocks should she sell this year?\ Stock A: Her basis: $50, FMV: $60 Dividend: $5 on a bi-annual basis\ Stock B: Her basis:

$80

, FMV:

$90

, Dividend:

$7

on an annul basis\ She should sell stock A because it has the highest rate of return

40%

\ She should sell stock B because it has the highest rate of return

50%

\ She should sell stock B because it has the lowest rate of return

21%

\ She should not sell stock

A

because it has the lowest rate of return

30%

Madeleine invested in stock A and in stock B in March 2021. A year later, she is trying to decide which one of the two to sell this year and decided to sell the one with the highest rate of return. Based on the information provided, which one of the two stocks should she sell this year? Stock A: Her basis: $50, FMV: $60 Dividend: $5 on a bi-annual basis Stock B: Her basis: $80, FMV: $90, Dividend: $7 on an annual basis She should sell stock A because it has the highest rate of return 40% She should sell stock B because it has the highest rate of return 50% She should sell stock B because it has the lowest rate of return 21% She should not sell stock A because it has the lowest rate of return 30%