Calculate the tax equivalent yield

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A municipal bond you are considering as an investment currently pays a yield of 6.94 percent.

a. Calculate the tax equivalent yield if your marginal tax rate is 28 percent. (Round your answer to 3 decimal places. (e.g., 32.161))!!!!!!!!!

Tax equivalent yield % _______________________

b. Calculate the tax equivalent yield if your marginal tax rate is 21 percent. (Round your answer to 3 decimal places. (e.g., 32.161))!!!!!!!!!!

Tax equivalent yield____ %

Reference no: EM131617080

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