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Assume that Bill's marginal tax rate is 40%. If corporate bonds pay 10% interest, what interest rate would a municipal bond have to offer for

Assume that Bill's marginal tax rate is 40%. If corporate bonds pay 10% interest, what interest rate would a municipal bond have to offer for Bill to be indifferent between the two bonds?
A. 10%
B. 16.67%
C. 8%
D. 6%
E. None of the Above

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