Rita,who Has a Marginal Tax Rate of 37%,is Planning to Make

Rita,who has a marginal tax rate of 37%,is planning to make a gift to her grandson who is in the lowest tax bracket.Which of the following holdings of stock would be the most tax advantageous gift from Rita's perspective?

A) $$\begin{array} { | l | l | l| } \hline & & \text { Adjusted } \\ \text { Stock } & \text { FMV } & \text { Basis } \\\hline \text { A } & \$ 25,000 & \$ 12,000 \\\hline\end{array}$$
B) $$\begin{array} { | l | l | l| } \hline & & \text { Adjusted } \\\text { Stock } & \text { FMV } & \text { Basis } \\\hline \text { B } & \$ 25,000 & \$ 25,000 \\\hline\end{array}$$
C) $$\begin{array} { | l | l | l |} \hline & & \text { Adjusted } \\\text { Stock } & \text { FMV } & \text { Basis } \\\hline \text { A } & \$ 25,000 & \$ 32,000 \\\hline\end{array}$$
D) For income tax purposes,Rita will be indifferent as to choice of stock to gift.