Find break-even tax rate that make taxable indifferent


Aaa-rated municipal bonds are carrying a market yield today of 5.25 percent, while Aaa-rated corporate bonds have current market yields of 11.50 percent. What is the break-even tax rate that would make a taxable investor indifferent between these two types of bonds?

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Finance Basics: Find break-even tax rate that make taxable indifferent
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