Indifferent between investing in corporate bond

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Reference no: EM13850595

Assume that Jose is indifferent between investing in a corporate bond that pays 10% interest and a stock with no growth potential that pays an 8% dividend yield. Assume that the tax rate on dividends is 15%. What is Jose's marginal tax rate?

47%.

37%.

32%.

15%.

None of these.

Reference no: EM13850595

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