Assume that Keisha's marginal tax rate is 40% and her tax rate on dividends is 25%. If a city of Atlanta bond pays 6.9% interest, what dividend yield would a dividend-paying stock (with no growth potential) have to offer for Keisha to be indifferent between the two investments from a cash-flow perspective?

Multiple Choice

25.00%

10.20%

9.20%

6.90%

None of the choices are correct.