Krystyna, a single individual, invested $20,000 in corporate bonds with a stated interest rate of 5 percent

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Krystyna, a single individual, invested $20,000 in corporate bonds with a stated interest rate of 5 percent and another $20,000 in tax-exempt municipal bonds issued for governmental activities with a stated interest rate of 4.75 percent. Calculate her after-tax cash flow from each investment if:

a. her marginal tax rate is 15 percent.

b. her marginal tax rate is 33 percent.

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Taxation For Decision Makers 2018

ISBN: 9781119373735

8th Edition

Authors: Shirley Dennis Escoffier, Karen Fortin

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