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53) A corporation in a 21% tax bracket invests in the preferred stock of another company and 53) cams a 6% pretax rate of return.

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53) A corporation in a 21% tax bracket invests in the preferred stock of another company and 53) cams a 6% pretax rate of return. An individual investor in a 15% tax bracket invests in the same preferred stock and earns the same pre-tax return. The after-tax return to the corporation is _and the after-tax return to the individual investor is A) 5.62%; 5.1% B) 5.37%; 5.1% C) 6%; 6% D) 5.56%; 5.1%

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