Municipal bonds with the same maturity


Problem 1. Do investors in high tax brackets or those in low tax brackets benefit more from tax-exempt securities?

Problem 2. Do municipal bonds or corporate bonds offer a higher before-tax yield at a given point in time? Which has the higher after-tax yield?

Problem 3. If taxes did not exist, would Treasury bonds offer a higher or lower yield than municipal bonds with the same maturity?

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Accounting Basics: Municipal bonds with the same maturity
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