Jessica has $10,000 invested in corporate bonds with a stated interest rate of 7 percent and $10,000

Question:

Jessica has $10,000 invested in corporate bonds with a stated interest rate of 7 percent and $10,000 in tax-exempt municipal bonds issued for governmental activities with a stated interest rate of 5.5 percent. Calculate her after-tax cash flow from each investment if:
a. her marginal tax rate is 12 percent.
b. her marginal tax rate is 32 percent.

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