Stan and Alicia can invest $40000 in preferred stock A which pay a dividend of $2000 a year, payable quarterly. They will re-invest the dividends in a savings account which presently earns 3% compounded yearly. They expect the stock will reach a selling price of $44000 in 4 years. Assume a regular income marginal tax rate of 43%, and a dividend marginal tax rate of 17.45%, and a capital gains marginal tax rate of 21.5%. 

What is the after-tax EAR of this tock? Assume taxation is paid annually for the interests and dividends. (Calculate using HPR before and after tax)