Use the following information to answer Question 5-6 Rowan Savings Bank regularly purchases municipal bonds issued by small rural school districts in its region of the state. The bank is considering purchasing a $5 million general obligation issue from the Bath school district, the only bond issue that district plans this year. The bonds, which mature in 15 carry a nominal annual rate of return of 6.75%. Rowan Savings, which is in the top corporate tax bracket of 35%, must pay an average interest rate of 4.25% to borrow the funds needed to purchase the municipals. what is the net after-tax return on this bank-qualified municipal bond? years, 0 a 2.43% O b. 3.69% Oc. 4.62% od, 1.87% QUESTION 6 3 points Save Answer What is the tax-equivalent yield on this tax-exempt security? 0 a 10.38% Ob. 4.3996 O c. 5.68% O d. 6.54%