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(5 points) 1. What is the taxable equivalent yield on a tax-free municipal bond with a yield to maturity of 4.5 percent for an investor

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(5 points) 1. What is the taxable equivalent yield on a tax-free municipal bond with a yield to maturity of 4.5 percent for an investor in the 40 percent marginal tax bracket? That is, what yield would you need on a taxable bond to give the same after-tax yield7

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