Calculate the? after-tax return-marginal tax bracket

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Calculate the? after-tax return of a 6.09 percent, 20-year,? A-rated corporate bond for an investor in the 15 percent marginal tax bracket. Compare this yield to a 5.71 ?percent, 20-year,? A-rated, tax-exempt municipal bond and explain which alternative is better. Repeat the calculations and comparison for an investor in the 35 percent marginal tax bracket.

Question - The? after-tax return of a 6.09 percent, 20-year,? A-rated corporate bond for an investor in the 15 percent marginal tax bracket is ? %.(Round to two decimal? places.)

Reference no: EM131896856

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