1. Assume you are in the 28 percent tax bracket and purchase a 3.50 percent municipal bond. Calculate the taxable equivalent yield for this investment. (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.)
2. On what basis would anyone pay a $150 price premium for a $799 Apple iPad Pro versus a similarly equipped Microsoft Surface Pro 3 at $649?
3. Why do life insurance companies and pension funds typically make long-term loans or investments?