A municipal bond you are considering as an investment currently pays a 6.81 percent annual rate of return.
a. Calculate the tax equivalent rate of return if your marginal tax rate is 28 percent. (Round your answer to 3 decimal places. (e.g., 32.161)) Tax equivalent rate of return %
b. Calculate the tax equivalent rate of return if your marginal tax rate is 21 percent. (Round your answer to 3 decimal places. (e.g., 32.161)) Tax equivalent rate of return %