Question
Between a corporate bond with a 7% coupon and a muni bond with a 5% coupon, the ____________ bond is more attractive for an investor
Between a corporate bond with a 7% coupon and a muni bond with a 5% coupon, the ____________ bond is more attractive for an investor in a 20% tax bracket because the muni bonds equivalent taxable yield is _________ .
- A. corporate; 7.14%
- B. corporate; 6.25%
- C. muni; 7.14%
- D. muni; 6.25%
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Business Finance
Authors: Ronald R. Pitfield
1st Edition
0852581513, 978-0852581513
