a.Suppose you can invest in taxable corporate bonds that are yielding 6% annual interest rate or municipal bonds. If your marginal tax is 28%, what is the after tax or equivalent tax-exempt yield on the taxable bond?

b.For a 28% tax bracket, what corporate taxable yield is equivalent to a 4.5% municipal bond rate?

- Suppose you can invest in taxable corporate bonds that are yielding 6% annual interest rate or municipal bonds. If your marginal tax is 28%, what is the aftertax or equivalent tax-exempt yield on the taxable bond? - For a 28\% tax bracket, what corporate taxable yield is equivalent to a 4.5% municipal bond rate