Question: A 3 0 - year U . S . corporate bond paying 8 percent coupon has a yield of 8 . 6 percent. A 3

A 30-year U.S. corporate bond paying 8 percent coupon has a yield of 8.6 percent. A 30-year municipal bond paying 8 percent coupon has a yield of 5 percent. Find the break-even tax rate.

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