Question
A municipal bond has yield to maturity of 4.83 percent . An investor with a marginal tax rate of 35 percent is indifferent between this
A municipal bond has yield to maturity of 4.83 percent . An investor with a marginal tax rate of 35 percent is indifferent between this municipal bond and an otherwise identical taxable corporate bond. What is the yield to maturity of the corporate bond ?
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Entrepreneurial Financial Management An Applied Approach
Authors: Jeffrey R Cornwall, David O Vang, Jean M Hartman
5th Edition
0367335417, 978-0367335410
