• 2022-06-19
    A municipal bond carries a coupon of 6.75 percent and is traded at par. To a taxpayer in the 28 percent tax bracket, this bond provides an equivalent taxable yield of:()
    A: 8.53%.
    B: 7.88%.
    C: 9.38%.
  • C

    内容

    • 0

      If a $5,000 coupon bond has a coupon rate of 13 percent, then the coupon payment every year is _________.

    • 1

      If you expect the inflation rate to be 15 percent next year and a one - year bond has a yield to maturity of 7 percent, then the real interest rate on this bond is _________

    • 2

      In order for you to be indifferent between the after tax returns on a corporate bond paying 8.5% and a tax-exempt municipal bond paying 6.12%, what would your tax bracket need to be? A: 33% B: 72% C: 15% D: 28% E: Cannot tell from the information given

    • 3

      The current yield for a 4.5% coupon, 10-year bond, with a maturity par value of $100 and currently priced at $85.70 is closest to

    • 4

      The return on a 5 percent coupon bond that initially sells for $1,000 and sells for $1,100 one year later is _________