You can invest in taxable bonds that are paying a yield of 8.1 percent or a municipal bond paying a yield of 7.95 percent. Assume your marginal tax rate is 21 percent. a. Calculate the after-tax rate of return on the taxable bond? (Round your answer to 2 decimal places. (e.g., 32.16)) b. Which security bond should you buy?

a.Rate of return%

b.The security bond one should buy is: