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Given the following information: 20 percent tax rate, a fully taxable investment earning 10 percent , a tax-exempt investment earning 8 percent, assuming the two

Given the following information: 20 percent tax rate, a fully taxable investment earning 10 percent , a tax-exempt investment earning 8 percent, assuming the two investments have similar risks, you would _____.

choose the taxable investment

choose the tax-exempt investment

be indifferent between the two options

There is not enough information to make a decision.

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