g corporate bonds issued by bohnsen corporation currently yield 8.8%. municipal bonds of equal risk currently yield 4.5%. at what tax rate would an investor be indifferent between these two bonds? question 22 options: 35.50% 32.90% 43.87% 51.14%

Answers

Answer 1

The tax rate at which an investor would be indifferent between a corporate bond yielding 8.8% and a municipal bond of equal risk yielding 4.5% is 32.90%.

A corporate bond and a municipal bond of equal risk and equal term are compared here. The bond issued by Bohnsen Corporation currently yields 8.8%, whereas the municipal bond yields 4.5%.

The interest earned on the corporate bond is taxable at the marginal tax rate, whereas the interest earned on the municipal bond is tax-free.

In this case, an investor would be indifferent between the two bonds at the tax rate where the after-tax interest on the corporate bond is equal to the after-tax interest on the municipal bond.

We'll use the formula below to calculate the tax rate at which an investor would be indifferent between these two bonds.(1-T) x (Corporate bond yield) = Municipal bond yield(1-T) x 8.8% = 4.5%1 - T = 0.045 / 0.0881 - T = 0.5114T = 1 - 0.5114T = 0.4886This implies that the investor would be indifferent between the two bonds at a tax rate of 48.86%, as (1 - T) x (Corporate bond yield) = Municipal bond yield32.90% is the closest answer option.

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Related Questions

The businesses in a diversified company's lineup exhibit good resource fit whenA. the resource requirements of each of its businesses exactly match the resources the company has available.B. its individual businesses add to a company's resource strengths and when it has the resources to adequately support the requirements of its businesses as a group without spreading itself too thin.C. each business unit generates just enough cash flow annually to fund its own capital requirements and thus does not require cash infusions from the corporate parent.D. each business unit produces sufficient cash flows over and above what is needed to build and maintain the business, thereby providing the parent company with enough cash to pay shareholders a generous and steadily increasing dividend.

Answers

The correct answer is B. its individual businesses add to a company's resource strengths and when it has the resources to adequately support the requirements of its businesses as a group without spreading itself too thin.

In a diversified company, good resource fit means that the individual businesses within the company complement each other by adding to the company's overall resource strengths. This implies that the company can leverage its available resources effectively across its different businesses.

Additionally, the company should have sufficient resources to adequately support the requirements of its businesses as a group. This means that the company has the necessary resources to meet the needs of each business unit without overstretching itself or depleting its resources excessively.

Options A, C, and D do not fully capture the concept of good resource fit in a diversified company. Option A suggests an exact match between resource requirements and available resources, which is often difficult to achieve in practice. Option C focuses only on cash flow generation and capital requirements, ignoring the broader concept of resource fit. Option D emphasizes cash flow generation for dividends, which is important but does not solely determine good resource fit.

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During the 2018 financial year, Foster Manufacturing recorded the following income and expenditure. GST is not considered in this question.

• Sales Revenue of $2,040,000
• Operating Expenses of $322,000
• Income tax Expense $215,000

Charges to Production were:
• Raw Materials issued to Production of $420,000
• Direct labour charged to Production $340,000
• Overheads charged to Production $272,000
• Actual cost of Overheads $265,000

Additional Information:
• Work in Process at the beginning of the period was $102,000
• Work in Process at the end of the period was $110,000
• Finished Goods at the beginning of the period was $234,000
• Finished Goods at the end of the period was $252,000

Required:
Based on the transactions recorded, within Microsoft Excel prepare a:
Income Statement for the year

Answers

Answer:

in 2021  C

Explanation:

c

Allison would like to find all records that are in stock. In her database, she has a field named "in stock." When the item is in stock, a "yes" appears. What should Allison do?


Conduct a query and set the criteria as =yes.

Conduct a query and set the criteria to >2.

Locate each record and check each one.

Sort the records in ascending order by item number.

Answers

Answer: she should conduct a query and set the criteria to >2

Explanation:

Don’t know this but I tried I am only in 9th grade

Total revenue (TR) is:

A) The value of the firm's investment for the business to function
B) the value of a firm's profit per time period
C) a firm's sales revenue as a percentage of the industry's total revenue
D) the value of a firm's annual sales turnover over a specific period of time

Answers

i think it’s d. but im so sorry if im wrong!

The accompanying table gives cost data for a firm that is selling in a purely competitive market. If product price is $60, the firm will Multiple Choice produce 6 units and realize a $100 economic profit. produce 4 units and realize a $120 economic profit. produce 3 units and incur a $40 loss. shut down.

Answers

In a purely competitive market, firms aim to maximize their profits by producing at a level where marginal cost equals marginal revenue.

If the product price is $60, the firm will continue producing as long as the marginal cost is less than or equal to $60.

If the firm can produce 6 units and realize a $100 economic profit, it suggests that the marginal cost of producing the 6th unit is less than $100. Producing 4 units and realizing a $120 economic profit would require a lower marginal cost for each unit.

Producing 3 units and incurring a $40 loss implies that the marginal cost of the 3rd unit exceeds $60, resulting in a loss.

In this case, it would be more profitable for the firm to shut down production.

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1.the balance of an account is calculated as
A the total of the debit side
B the total of the credit side
C the difference between the totals of the debit and credit side
D.the sum of all entries

2.the total on the debit of an account is greater than the credit side.what does this mean?
A the account has a debit balance
B the account has a credit balance
C the account cannot be balanced
D the account has no balance

3.a credit balance occurs in a ledger account when
A the total on its debit side is greater than the credit side
B the total on its debit side is less than the total on its credit side
C the total on its debit side is equal to the total on its credit side
D the total is zero in the ledger account ​

Answers

Answer:

1.A

2.C

3.D

Explanation:

hope its help

Tara decides to attend the out-of-state college because they have a better math education program. The table shows the expected yearly costs of the school.
A 2-column table with 5 rows. Column 1 has entries tuition, room/board, books/lab, transportation, other. Column 2 is labeled Out-of-State College costs with entries 24,500 dollars, 8,940 dollars, 1,950 dollars, 1,390 dollars, 1,800 dollars.
What will be the total costs for Tara’s first year at the out-of-state college?


Tara expects to receive about $9,500 in federal grants each year. What is the minimum amount she should expect to pay for all four years of college?

Answers

Answer:

What will be the total costs for Tara’s first year at the out-of-state college?

✔ $38,580

Tara expects to receive about $9,500 in federal grants each year. What is the minimum amount she should expect to pay for all four years of college?

✔ $116,320

Explanation:

edge

Answer:

c c

Explanation:

Which of these is NOT a concern for consumers in times of inflation?
a.They cannot anticipate the cost of goods and services.
b.They lose money on their investments and savings.
c.They are at a disadvantage when paying back borrowed money.
d.They struggle when they are on a fixed income.

Answers

Answer: D

Explanation:

25 point multiple choice

Ava works in a college admissions office. She is involved in reading applications and matching students to the criteria set out by the school for acceptance. If Ava decides that the student qualifies to attend the college, she notifies them. Which pathway in the Education and Training Cluster does Ava’s career fall into?

A. Teaching and Training B. Administration and Administrative C. Professional Support Services D. Science & Mathematics

Answers

It will be Option C, " Professional support and Services ".

Proof:-

• She is only reading applications that might be related to complaints or admissions, So , Option A and D is incorrect.

• She is not in the field of anything related to teaching, therefore, Option B is also incorrect.

Now Option C is only remaining. Therefore, Option C is your answer.

Hope it helps you...

(Answered by Benjemin)

Select two learning styles from the following list. Describe ways in which each of the two learning styles prefer to learn. Bodily/kinesthetic, interpersonal, intrapersonal, logical/mathematical, naturalistic, rhythmic/musical, verbal/linguistic.

Answers

Answer:

interpersonal

positive behaviors used when interacting with others

intrapersonal

relationship with self

Explanation:

I really don't have an explanation sorry

Ram thinks of a number if he adds 3 to 5 times the number he gets 38. what is the number?​

Answers

Answer:

This answer is 7

Explanation:

Try using this to show the working

(5x)+3=38

f) Purchased furniture for Rs. 12,000 giving Rs. 4,000 in cash and balance on credit.
journal entry ​

Answers

The journal entry for the purchase of furniture for Rs. 12,000, with Rs. 4,000 paid in cash and the balance on credit, would be:

Debit: Furniture account for Rs. 12,000
Credit: Cash account for Rs. 4,000
Credit: Accounts Payable account for Rs. 8,000

Explanation:
- Furniture account is debited as it is an asset acquired by the business.
- Cash account is credited as the payment of Rs. 4,000 is made in cash.
- Accounts Payable account is credited as the remaining balance of Rs. 8,000 is still payable on credit.

a nation must have an absolute advantage in order to have a comparative advantage in producing a good or service. group of answer choices true false

Answers

False: A nation must have an absolute advantage in order to have a comparative advantage in producing a good or service.

A nation does not need to have an absolute advantage in order to have a comparative advantage in producing a good or service.

Comparative advantage is based on the opportunity cost of producing a good or service, meaning that a nation can have a comparative advantage in producing a good or service even if it is not the most efficient producer.

As long as the opportunity cost of producing the good or service is lower compared to other nations, the nation has a comparative advantage.

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Examples of private land use controls would NOT include:
a. restrictive covenants
b. restrictions placed in deed or wills
c. conditions in a deed
d. eminent domain

Answers

Private land use controls refer to the rules and regulations put in place by private individuals or organizations to regulate the use of their property.

Some examples of private land use controls include restrictive covenants, easements, zoning regulations, and building codes. These controls are typically used to ensure that the property is used in a manner that is consistent with the owner's wishes and to protect the value of the property.

However, the use of eminent domain is not considered a private land use control because it involves the government taking private property for public use, which is not controlled by private individuals or organizations.

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Choose four (4) topics from the list below and
prepare a final research paper (5-7 pages double-spaced), using
examples/cases of real companies.
1. Forecasting incremental Earnings
2. Operating vs Cap

Answers

When preparing a final research paper, one can choose four topics from the list below and use examples/cases of real companies. The chosen topics are forecasting incremental earnings, operating vs cap, leverage buyouts, and financial risk management. Forecasting ,Incremental Earnings ,Incremental earnings refer to the additional revenue earned or expenses incurred as a result of a specific decision.

Forecasting incremental earnings involves predicting the impact of different decisions on the organization's financial performance. For example, a company's decision to launch a new product may generate incremental earnings. To forecast incremental earnings, one can analyze the company's financial statements and performance trends. In addition, market research and analysis can provide insights into customer behavior and preferences. Example: Apple's decision to launch the iPhone generated significant incremental earnings for the company.

Operating vs Cap Operating expenses are the regular costs associated with running a business, such as rent, salaries, and utilities. Capital expenditures (capex) are expenses related to the purchase of long-term assets such as property, equipment, or technology. Operating expenditures do not generate long-term benefits for the organization, while capital expenditures may generate long-term benefits. To determine the appropriate allocation of resources to operating versus capex, an organization must consider its long-term goals and strategies. Example: Tesla's significant capex investments in manufacturing facilities have enabled the company to increase its production capacity.

Leverage Buyouts: A leveraged buyout (LBO) is a type of acquisition in which a company is purchased using a significant amount of borrowed money.

The acquired company's assets are used as collateral for the loan, which is repaid using the company's cash flows. LBOs are often used to take a company private, meaning that its shares are no longer traded publicly. To evaluate the potential success of an LBO, investors analyze the target company's financial performance, market position, and debt capacity. Example: The acquisition of Toys "R" Us by KKR, Bain Capital, and Vornado Realty Trust was one of the largest LBOs in history.

Financial Risk Management: Financial risk management involves identifying and managing potential financial risks that may negatively impact an organization's performance. Financial risks include credit risk, market risk, liquidity risk, and operational risk. To manage financial risk, organizations must establish risk management policies and procedures, monitor financial performance, and take proactive measures to mitigate risks. Example: The 2008 financial crisis was caused in part by inadequate financial risk management practices by banks and other financial institutions.

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A company must pay liabilities of $1,000 due 6 months from now and $2,000 due one year from now. The only investments available to the company are two bonds. Bond A is a 6-month bond with 8% nominal annual coupon rate convertible semiannually and a 6% nominal annual yield rate convertible semiannually. Bond B is a 1-year bond with 5% nominal annual coupon rate convertible semiannually and a 7% nominal annual yield rate convertible semiannually. Determine the cost to the company now to match its liabilities exactly.

Answers

The cost to the company now to match its liabilities exactly is the sum of the present values of Bond A and Bond B, which is:

$1,014.94 + $1,955.70 = $2,970.64

To determine the cost to the company now to match its liabilities exactly, we need to calculate the present values of the bond cash flows and select the combination of bonds that will cover the liabilities.

Calculate the present values for Bond A and Bond B based on the given information:

Bond A:

Coupon Rate: 8% (nominal annual rate convertible semiannually)

Yield Rate: 6% (nominal annual rate convertible semiannually)

Time to Maturity: 6 months

To calculate the present value of Bond A, we will consider the semiannual compounding:

Coupon Payment (semiannual) = (8% / 2) * $1,000 = $40

Number of Coupon Payments = 2 (for 6 months)

Present Value of Coupon Payments = $40 / (1 + 0.06/2) + $40 / (1 + 0.06/2)^2 = $74.77

Present Value of the Principal = $1,000 / (1 + 0.06/2)^2 = $940.17

Total Present Value of Bond A = Present Value of Coupon Payments + Present Value of Principal

= $74.77 + $940.17 = $1,014.94

Bond B:

Coupon Rate: 5% (nominal annual rate convertible semiannually)

Yield Rate: 7% (nominal annual rate convertible semiannually)

Time to Maturity: 1 year

To calculate the present value of Bond B, consider the semiannual compounding:

Coupon Payment (semiannual) = (5% / 2) * $2,000 = $50

Number of Coupon Payments = 2 (for 1 year)

Present Value of Coupon Payments = $50 / (1 + 0.07/2) + $50 / (1 + 0.07/2)^2 = $94.77

Present Value of the Principal = $2,000 / (1 + 0.07/2)^2 = $1,860.93

Total Present Value of Bond B = Present Value of Coupon Payments + Present Value of Principal

= $94.77 + $1,860.93 = $1,955.70

Now, we need to find the combination of Bond A and Bond B that matches the company's liabilities.

Liabilities:

$1,000 due in 6 months

$2,000 due in 1 year

We can cover the $1,000 liability due in 6 months by purchasing Bond A, which has a present value of $1,014.94.

For the $2,000 liability due in 1 year, we can purchase Bond B, which has a present value of $1,955.70.

Therefore, the cost to the company now to match its liabilities exactly is the sum of the present values of Bond A and Bond B, which is:

$1,014.94 + $1,955.70 = $2,970.64

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Josh is journalizing an adjustment for a bank service fee. What type of
account would this be considered?
A. cash
B. revenue
C. expense
D. accounts payable

Answers

Answer:

Expense

Explanation:

To calculate the number of montly payments required to pay off a loan or meet an investment goal, use the _______ function.

Answers

To calculate the number of monthly payments required to pay off a loan or meet an investment goal, use the nper function.

In finance, lending is the lending of money by one or more individuals, organizations, or other entities to other individuals and organizations, etc. The beneficiary incurs a debt and usually has to pay interest on that debt until that debt is also repaid. to repay the principal borrowed.

The promissory note will typically state, among other things, the principal amount of the loan, the interest rate charged by the lender, and the date of repayment. A loan involves reallocation of assets in question over a period of time, between the lender and the borrower.

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Question 6 of 10
Which of the following speeds will produce lowest miles per gallon?
A. 75 mph
B. 45 mph
C. 85 mph
D. 55 mph

Answers

I believe D : ) hope it helps

True/False
1. A thank you note sent after a job interview will serve as a reminder to those people you met.
2. When giving the time of your emploment on your resume, be sure to specify only the year of starting and ending of each job.
3. If an interviewer asks you what your weakness are, you should think for a moment before answering.
4. To prevent discrimination, all applicants for a job should be asked the same questions during an interview.

Answers

A thank you note sent after a job interview will serve as a reminder to those people you met is a false statement

2. False

3. False

4. False

What is an interview for a job?

A job interview is known to be a kind of conversation tak that is said to occurs between a said and potential employer and that of a job applicant.

Note that During the job interview, the employer is one who has a lot of opportunity to appraise any kind of  applicant's qualifications, as well as their appearance and full fitness in regards to the job opening.

Hence,  A thank you note sent after a job interview will serve as a reminder to those people you met is a false statement

2. False

3. False

4. False

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Which of the following is one of the primary responsibilities of the federal judicial branch?​

Answers

Answer:

to judge if laws made by the legislative branch are constitutional

Explanation:

Answer:

to judge the constitutionality of laws

Explanation:

What is the gross income for a real estate agent in 2021?

Answers

Answer:

It depends on where you live and your experience level, but in the US a real estate agent can make approximately $82,898 a year, while you can expect to be paid around 15 to 30 thousand a year, within the first few years.

I hope this helps :)

It would be common practice for a firm to undertake the process of strategic planning _______.

Answers

It would be common practice for a firm to undertake the process of strategic planning in order to set long-term goals, assess their current position in the market, identify potential opportunities and threats, and develop strategies to achieve their objectives.

Strategic planning is a crucial activity for any business that wants to stay competitive and adapt to changing market conditions. The process by which an organisation determines its strategy or direction and decides how to allocate its resources to achieve its strategic goals is known as strategic planning. Additionally, it may include controls that direct how the plan is put into practise.

Strategic planning is a process in which an organization's leaders define their vision for the future and identify their organization's goals and objectives. The process includes establishing the sequence in which those goals should be realized so that the organization can reach its stated vision.

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Free 50 Pts
Is it Legal if i use a M18 Claymore Mine While Hunting?

Answers

Answer:

no there would be not evidence that u killed something because that evaporate the animal

Explanation:

if the return distribution for the asset is described as below, what is the standard deviation for the asset's returns? (do not round your intermediate calculations. round your percentage answers to two decimal places.) return probability 12% 15% 10% 50% 7% 35%

Answers

If the asset's return distribution is known, then its standard deviation is 1.79%

Investors may find volatility to be both a difficulty and an opportunity. It is a challenge since a significant loss in portfolio value could occur quickly. At the same time, volatility gives knowledgeable investors the chance to profit from brief price fluctuations and buy stocks at a discount to their true worth.

Let,

pi = probability of state i

Ri = return in state i

The weighted average of all returns will yield the expected return:

R = ∑ pi * Ri

R = (0.15 * 0.12) + (0.5 * 0.1) + (0.35 * 0.07)

R = 0.018 + 0.05 + 0.0245

R = 9.25%

Computation of Standard Deviation:

SD = √∑pi * (Ri - R)²

SD = √0.15 * (0.12 - 0.0925)² + 0.5 * (0.1 - 0.0925)² + 0.35 * (0.07 - 0.0925)²

SD = 1.79%

Therefore, the Standard Deviation for the asset's returns = 1.79%

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Connie Duffy started working for Dexter Company on Thursday of this week. She worked 8 hours on Thursday and 10 hours on Friday. Her annual salary is $62,400, and she is an exempt white-collar employee.
Determine her gross pay for her first partial week of work.

Answers

Answer: $480

Explanation:

Therefore, her gross pay for her first partial week of work will be her prorated weekly salary.

To calculate this, we first need to determine her daily salary:

Daily salary = Annual salary / Number of workdays per year

Number of workdays per year = 52 weeks × 5 days/week = 260 days

Daily salary = $62,400 / 260 days = $240 per day

Since Connie worked two days (Thursday and Friday) in her first week, her gross pay will be:

Gross pay = Daily salary × Number of days worked

Gross pay = $240 per day × 2 days = $480

Therefore, Connie's gross pay for her first partial week of work is $480.

Final answer:

To calculate Connie Duffy's gross pay for her first partial week of work, divide her annual salary by the total number of days in a year and then multiply it by the number of days she worked.

Explanation:

To determine Connie Duffy's gross pay for her first partial week of work, we need to calculate her daily pay rate and then multiply it by the number of days she worked. Since she worked 2 days in this week, her daily pay rate would be her annual salary divided by the total number of days in a year. In this case, it would be $62,400 divided by 365. Next, we multiply the daily pay rate by the number of days she worked (2 days) to find her gross pay for the first partial week. So, her gross pay would be $341.64.

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when highlighting a product's competitive advantage based on attributes, a firm will a. show how its product is priced lower than the competition. b. show how its product use can be advantageous to the customer. c. concentrate on the unique aspects of the product that sets it apart from the competition. d. develop a relationship with the target market that will enhance the product's brand. e. remind customers the value of the product received in comparison to its price.

Answers

When highlighting a product's competitive advantage based on attributes, a firm will concentrate on the unique aspects of the product that sets it apart from the competition. This could include features, design, or performance that the competition cannot match.

The firm may also show how its product use can be advantageous to the customer, emphasizing the benefits and advantages that the product offers. Additionally, the firm may remind customers of the value of the product received in comparison to its price, highlighting the affordability and cost-effectiveness of the product. Developing a relationship with the target market that will enhance the product's brand is also important, but it may not necessarily be directly related to highlighting the product's attributes.

Ultimately, the key to highlighting a product's competitive advantage is to differentiate it from the competition and emphasize its unique features and benefits. By focusing on the unique aspects of the product, the firm can effectively demonstrate to customers why their product is superior or different from the competitors, which can lead to increased sales and customer loyalty.

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Active listening is a process of communication in which the listener engages the speaker by repeating or rephrasing the speaker’s words; the listener may also mirror body language or _____.

apathetic behavior
tone of voice
nervous tics
hand gestures

Answers

Answer: tone of voice

Explanation:

Active listening refers to a process of communication whereby the speaker is engaged by the listener who repeats the words or statements heard.

Active listening involves the individual listening with all his or her senses and giving the speaker all the attention needed.

In active listening, the listener can mirror the body language or the tone of voice of the speaker. Active listening can be either acquired or developed through constant practice.

the year the volleyball was introduced​

Answers

Answer:

The Year was 1895

Hope that helps!

On March 5 PV Inc purchased $3,300 worth of merchandise from Panther Supply with the terms 2/10,n/30 On March 14, PV Inc paid Panther Supply the amount owed less the discount. Show the journal entry for March 5 and March 14 a

Answers

I need help on my question
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