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jok3333 [9.3K]
3 years ago
6

An investor is in the 28 percent federal tax bracket and pays a 9 percent state tax rate and 4 percent in local income taxes. Fo

r this investor a municipal bond paying 6 percent interest is equivalent to a corporate bond paying ________ interest.
Business
1 answer:
Crazy boy [7]3 years ago
8 0

Answer:

Corporate bond pay = 10.169%

Explanation:

Given:

Federal tax = 28%

State tax = 9%

Local income tax = 4%

Municipal bond pay = 6% = 0.06

Corporate bond pay = ?

Computation of Corporate bond pay :

Total taxes rate = 28% + 9% + 4%

Total taxes rate = 41%  = 0.41

Corporate bond pay = Municipal bond pay / (1-total tax rate)

Corporate bond pay = 0.06 / (1-0.41)

Corporate bond pay = 0.06 / (.59)

Corporate bond pay = 0.10169

Corporate bond pay = 10.169%

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Answer:

The answer is option (c), no he will not pass because he is running 4.8 miles in 35 minutes

Explanation:

This can be expressed as;

Speed=Distance/Time

where;

Distance to be covered=5 kilometers

Time=35 minutes

replacing;

speed=(5/35)=0.143 km/min

In order to pass the fitness test his speed has to be greater than 0.143 km/min

Determine if 3 miles per 35 minutes is greater than 0.143 km/min

I mile=1.6 kilometers

How many kilometers make 3 miles,

Jimmy runs=(3×1.6)=4.8 kilometers in 35 minutes

Speed=4.8/35=0.137 kilometers/minute

Speed jimmy runs (0.137 km/min)<the pace he needs to run to pass fitness test(0.143 km/min)

The answer is option (c), no he will not pass because he is running 4.8 miles in 35 minutes

4 0
3 years ago
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Answer:

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