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Business, 28.05.2021 23:50 heaven8606

Calculate the​ after-tax return of a 5.48 ​percent, 20-year,​ A-rated corporate bond for an investor in the 15 percent marginal tax bracket. Compare this yield to a 4.83 ​percent, 20-year,​ A-rated, tax-exempt municipal bond and explain which alternative is better. Repeat the calculations and comparison for an investor in the 33 percent marginal tax bracket.

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