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7. Which bond would you prefer between a taxable bond that has a yield of 11% and a municipal bond with a yield of 6%

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7. Which bond would you prefer between a taxable bond that has a yield of 11% and a municipal bond with a yield of 6% if you are in the 40% tax bracket? A. taxable bond B. municipal bond C. indifferent since they provide the same after-tax yield D. none of the above

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