I am needing help understanding question 8. Can anyone help.

1. Refer to the corporate rate schedule in Appendix C. A. What are the tax liability, the marginal tax rate, and the average tax rate for a corp- ration with $48,300 taxable income? $48,300 x 15%= $7,245 The tax liability is $7,245, the marginal tax rate is 15%, and the average tax rate is 15%. B. What are the tax liability, the marginal tax rate, and the average tax rate for a corp- ration with $615,800 taxable income? $615,800 x 34% = $209,372 The tax liability is $209,372, the marginal tax rate is 34%, and the average tax rate is 34%. C. What are the tax liability, the marginal tax rate, and the average tax rate for a corp- ration with $16,010,000 taxable income? $16,010,000 x 38% = $6,083,800 The tax liability is $16,010,000, the marginal tax rate is 38%, and the average tax rate is 38%. D. What are the tax liability, the marginal tax rate, and the average tax rate for a corp- ration with $39,253,000 taxable income? $39,253,000 x 35% = $13,738,550 The tax liability is $39,253,000, the marginal tax rate is 35%, and the average tax rate is 35% 8. Company K has a 30 percent marginal tax rate and uses a 7 percent discount rate to compute NPV. The company started a venture that will yield the following before-tax cash flows: year 0, $12,000; year 1, $21,000; year 2, $24,000; year 3, $17,600. A. If the before-tax cash flows represent taxable income in the year received, compute the NPV of the cash flows. B. Compute the NPV if Company K can defer the receipt of years 0 and 1 cash flows/ income until year 2. (It would receive no cash in years 0 and 1 and would receive $57,000 cash in year 2.) C. Compute the NPV if Company K can defer paying tax on years 0 and 1 cash flows until year 2. (It would receive $24,000 cash in year 2 but would pay tax on $57,000 income.) 14. Mr. G has $15,000 to invest. He is undecided about putting the money into tax-exempt municipal bonds paying 7 percent annual interest or corporate bonds paying 9.5 percent annual interest. The two investments have the same risk. A) If Mr. G invests in Corporate Bonds, he will Yield 6.365% (9.5% x 33% Marginal Tax rate). He should invest in the municipal bonds. B) If Mr. G invest in Municipal Bonds, marginal tax rate is only 15%. He will yield 8.075% (9.5% x 15%0, which is higher than 7% municipal bonds