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A married couple from California is in the 3 1 % Federal tax bracket and the 8 % California tax bracket. They are considering a

A married couple from California is in the 31% Federal tax bracket and the 8% California tax bracket. They are
considering a 5114% Hawaii municipal bond (Federal tax-free), a 5% California bond (double tax-free) or a 734
corporate bond (fully-taxable). Which bond offers the highest after-tax interest rate?
A California investor is in the 35% Federal tax bracket and the 9% California tax bracket. He has the choice of a
5% Oregon municipal bond (Federal tax-free), a 414% California bond (double tax-free) or a 712% corporate bond
(fully-taxable). Which bond offers the highest after-tax interest rate?
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