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

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

A Aaa-Rated Municipal Bond Carries a Market Yield of 5