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Lester is considering a municipal bond yielding 5.5 percent and a corporate bond yielding 8.2 percent. His marginal tax rate is 28 percent. He should
Lester is considering a municipal bond yielding 5.5 percent and a corporate bond yielding 8.2 percent. His marginal tax rate is 28 percent. He should invest in the ________ bond because the critical marginal tax rate is ________ percent.
A. municipal; 33
B. corporate; 33
C. municipal; 35
D. corporate; 26
E. corporate; 35
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