... have an interest rate of 8.% to finance a new Women's and Childrens's Pavilion

Assume you are in the 25 percent personal tax bracket. You are considering investing $55,000 in for profit Universal Health Services (OHS) bonds that carry an 9,75 percent interest rate. a) How much interest would you receive net of the tax on the investment? b) What is the after tax total amount of your investment? Now, consider that Not for Profit Kaiser Permanante, one of the leading California Healthcare systems, has issued tax exempt bonds that have an c) With all else the same, should you buy $55,000 of the taxable UHS bonds at 9.75% interest, or $55,000 of Kaiser Permanante bonds at 8.5%? d) Based on your answer to C above, please find the point (interest rate) of indifference (Please explain) 30 71 12 13 14