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CTP · Question #405

(Topic 5) Assuming a marginal tax rate of 36%, the taxable equivalent yield for an investment with a tax-exempt yield of 3% would bE.

The correct answer is C. 4.69%. See the full explanation below for the reasoning.

Question

  • (Topic 5)

Assuming a marginal tax rate of 36%, the taxable equivalent yield for an investment with a tax-exempt yield of 3% would bE.

Options

  • A1.92%.
  • B4.08%.
  • C4.69%.
  • D8.33%.

How the community answered

(21 responses)
  • A
    10% (2)
  • B
    10% (2)
  • C
    76% (16)
  • D
    5% (1)

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