Which of these two bonds should the investor select

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Reference no: EM13691211

An investor in the 28 percent tax bracket is trying to decide which of two bonds to select: one is a 5.5 percent U.S. Treasury bond selling at par; the other is a municipal bond with a 4.25 percent coupon, which is also selling at par.

Which of these two bonds should the investor select? Why? Please done one in regular math form only this problem. Full details I was sent with other problems. I could not tell which is my problem.

Reference no: EM13691211

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