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2) The break-even tax rate between a corporate bond and a comparable nontaxable municipal bond is 18%. If the municipal bond has a yield of

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2) The break-even tax rate between a corporate bond and a comparable nontaxable municipal bond is 18%. If the municipal bond has a yield of 4.7%, a) What is the yield of the corporate bond? b) If the actual tax rate is 13%, which bond would you prefer buying

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