What tax rate is investor indifferent to either bond

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Reference no: EM131967716

1. Find the net asset value for a mutual fund if total assets are 2.55 million, total liabilities are $50,000 and there are 1 million shares outstanding.

2. If a taxable bond yields 6.1% and a municipal bond of comparable risk and maturity yields 4.6%, at what tax rate is the investor indifferent to either bond?

3. IBM has an outstanding bond with an annual coupon of 7.9% and a face value of $1,000 that matures in 20 years. The bond's current price is $1,455.18. It is callable at a call price of $1,050 with 10 years of call protection from now.

What is the yield to call?

Reference no: EM131967716

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