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finance 6 6. A municipal bond trades at a 4.23% YTM whereas an equivalent risk and maturity corporate trades at 5.35%. Compute the implied marginal

finance 6
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6. A municipal bond trades at a 4.23% YTM whereas an equivalent risk and maturity corporate trades at 5.35%. Compute the implied marginal tax rate. If your marginal tax rate is 25% should you prefer the muni or the corporate? (Explain, and show your calculations)

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