Hui is currently considering investing in municipal bonds that earn $8\mathrm{.}40$ percent interest, or in taxable bonds issued by the Coca$-$Cola Company that pay $11\mathrm{.}20$ percent.

Required:

a$.$ If Hui's tax rate is $22$ percent, which bond should he choose?

b$.$ Which bond should he choose if his tax rate is $32$ percent?

c$.$ At what tax rate would he be indifferent between the bonds?

d$.$ What strategy is this decision based upon?

Complete this question by entering your answers in the tabs below.

Required B

Requrired C

Required D

At what tax rate would he be indifferent between the bonds?

Tax rate

$\%$