What is the bonds after-tax yield

Assignment Help Financial Management

Reference no: EM13890507

An investor recently purchased a corporate bond which yields 11.5%. The investor is in the 36% combined federal and state tax bracket. What is the bond's after-tax yield? Round your answer to two decimal places.

Reference no: EM13890507

Questions Cloud

What was wal-marts original strategy for creating value : What was Wal-Marts original strategy for creating value and how sustainable is the company's competitive advantage?

What was charge for depreciation and amortization : Talbot Enterprises recently reported an EBITDA of $7.0 million and net income of $2.45 million. It had $2.03 million of interest expense, and its corporate tax rate was 30%. What was its charge for depreciation and amortization? Enter your answer in ..

Bonus points problem : [Bonus Points Problem] In 40 years, you would like to retire on $150,000 a year in today's dollars. If the inflation rate = 4% a year for the next 40 years, how much must you have to equal today's $150,000?

About how much should be in the account when you close it : You deposit $1,000 in an account. You expect the account to earn 0.75% annual interest for the first six years. Then you expect the account to earn 1.03% annual interest until you close the account after 15 years. About how much should be in the acco..

What is the bonds after-tax yield : An investor recently purchased a corporate bond which yields 11.5%. The investor is in the 36% combined federal and state tax bracket. What is the bond's after-tax yield?

Calculate the profit margin : The adjusted trial balance for Speedy Courier as of December 31, 2013, follows.

Compute billing per patient day using the memory units rate : Compute the cost per patient per day. Compute the billing per patient day using the memory unit's existing markup rate.

About how much must be in your account when you retire : You believe you will spend $150,000 per year when you retire. You expect to live 30 years. If your retirement account expects to earn 5% annual interest, about how much must be in your account when you retire?

Interest on the loan is compounded annually : You need to borrow $5,000 for two years. Easy Finance Co. will loan you the money and you will pay back the finance company $6,250 in two years and the interest on the loan is compounded annually. You do not want to pay more than 10% annual interest...

User Account

All Pages