Question
A municipal bond carries a coupon rate of 6.00% and is trading at par. What would be the equivalent taxable yield of this bond to
A municipal bond carries a coupon rate of 6.00% and is trading at par.
What would be the equivalent taxable yield of this bond to a taxpayer in a 38% tax bracket? (Round your answer to 2 decimal places.)
Equivalent taxable yield ------------- %
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The Economics Of Money Banking And Financial Markets
Authors: Frederic S. Mishkin
7th Edition
0321122356, 978-0321122353
