The information will be used for the first five questions.

You, as an investor, are comparing two bonds: a corporate and a municipal. They both have a face value $($par$)$ of $$1,000$ and a $5-$year term to maturity. The corporate bond has an $8\%$ annual coupon and an $8\mathrm{.}5\%$ yield to maturity. The municipal bond has a $6\mathrm{.}5\%$ coupon and a $5\mathrm{.}75\%$ yield to maturity.

Please calculate the Price $($in $s$)$ of the corporate bond.

Assuming you have a $35\%$ tax rate, what is the after$-$tax coupon payment $($in $s$)$ that you will receive?

What is your after$-$tax return $($in $\%$s$)$ on the corporate?

What is the after$-$tax return $($in $\%$s$)$ on the municipal bond?