Calvin, whose tax rate is 35% is considering two alternative investments on January 1, 20Y1. He can purchase $100,000 of 10% bonds due in five years or purchase $100,000 of Hobbes, Inc. common stock. The bonds are issued at par, pay interest annually on December 31, and mature at the end of five years. Interest received can be reinvested at 10%. Assume that he knows with relative certainty that the value of the stock will increase 8% each year (i.e., the value of the Hobbes stock will be $108,000 at the end of 20Y1) and the interest and principal for the bonds will be paid as scheduled. On December 31, 20Y5, he will sell the stock or receive the bond principal plus the last interest payment. Which alternative should Calvin select if he wants to have the greater amount of money as of January 1, 20Y6? Provide supporting information for your answer.