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A client in the 25 percent marginal tax bracket is comparing a municipal bond that offers a 5.3 percent yield to maturity and a similar-

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A client in the 25 percent marginal tax bracket is comparing a municipal bond that offers a 5.3 percent yield to maturity and a similar- risk corporate bond that offers a yield of 7.50 percent. Determine the equivalent taxable yield. (Round your answer to 2 decimal places.) Equivalent taxable yield Which bond will give the client more profit after taxes? corporate bond O municipal bond

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