Question
Assume you are in the 32 percent tax bracket and purchase a 3.33 percent, tax-exempt municipal bond. Calculate the taxable equivalent yield for this
Assume you are in the 32 percent tax bracket and purchase a 3.33 percent, tax-exempt municipal bond. Calculate the taxable equivalent yield for this investment using the formula: Taxable equivalent yield = Tax-exempt return = (1 - Your tax rate) Note: Enter your answer as a percent rounded to 2 decimal places. Taxable equivalent yield 4.90 %
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Personal Finance
Authors: Jack Kapoor, Les Dlabay, Robert Hughes, Melissa Hart
14th Edition
1264101597, 9781264101597
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