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Mathematics, 07.09.2020 06:01 brooke3493
Anne’s marginal income tax rate is 32 percent. She purchases a corporate bond for $10,000 and the maturity, or face value, of the bond is $10,000. If the bond pays 5 percent per year before taxes, what is Anne’s annual after-tax rate of return from the bond if the bond matures in 1 year? What is her annual after-tax rate of return if the bond matures in 10 years?
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Anne’s marginal income tax rate is 32 percent. She purchases a corporate bond for $10,000 and the ma...
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