You are considering an investment in a municipal bond that has a yield of 5 percent. Your tax rate is 25 percent. What is your taxable equivalent yield

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Answer 1

The taxable equivalent yield is 6.67%.

Given Information

Municipal bond has yield of 5%

Tax rate = 25 percent

Taxable equivalent yield = ?

The formula for use to derive the taxable equivalent yield is {Current yield on municipal bond / (1-tax rate).

Taxable equivalent yield = 5% / (1 - 25%)

Taxable equivalent yield = 0.05 / 0.75

Taxable equivalent yield = 0.06666666666

Taxable equivalent yield = 6.67%

Therefore, the taxable equivalent yield is 6.67%.

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Related Questions

on january 1, 2021, strato corporation borrowed $2 million from a local bank to construct a new building over the next three years. the loan will be paid back in three equal installments of $776,067 on december 31 of each year. the payments include interest at a rate of 8%.

Answers

The journal entry for the receipt of the issue of note payable, based on the amount borrowed by Strato Corporation is:

Date                   Account title                               Debit               Credit

Jan. 1 2021         Cash                                     $2, 000, 000

                          Note payable                                               $2, 000, 000

How to record borrowed amounts?

When a company borrows an amount such as Strato Corporation did, the amount would first go to cash because the borrowed amount represents a cash infusion into the company. The cash account will therefore be debited by the amount that was borrowed because assets are debited when they come in. In this case, this amount is $2, 000, 000 so this will be debited to cash.

The loan represents a Notes Payable and so which is a liability. When liabilities are incurred, they are credited to the liability account. The loan amount would therefore be credited as a Notes payable with the amount $2, 000, 000.

The question is:

Record the receipt of cash from the issue of note payable.

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which general staff member directs management of all

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Answer:

manager

Explanation:

answer: manager explanation:

which skill is considered the cornerstone of effective communication?

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Based on communication strategy, the skill that is considered the cornerstone of effective communication is known as "Listening."

This is because effective listening forms the foundation of effective communication.

With effective listening, a recipient or responder would make the proper reply or response to the sender.

Without proper listening, arguments may arise in the communication process, or difficulty in understanding may occur among parties to a specific communication process.

Hence, in this case, it is concluded that the correct answer is "Listening."

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List one thing you SHOULD do if your car loan suddenly becomes too expensive.

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Answer:

Modify Your Auto Loan.

Refinance Your Vehicle Loan.

Trade-in Your Car.

Let Someone Else Assume Your Loan.

Sell Your Vehicle.

Turn the Keys In.

Let Your Car Be Repossessed.

File for Bankruptcy.

since her firm’s sales have increased from 3.5 to 4 percent, tanya has determined she would set her share of communication expenses at 4 percent of sales, which is an example of the use of the ________ method.

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When she determined to set her share of communication expenses at 4 percent of sales, it is an example of the use of the competitive parity method.

Competitive parity refers to when one want to achieve standard or average results as compared to others in your industry or within one's firm.

Here, because the firm’s sales have increased to 4%, she decided to set her share of communication expenses at 4% of sales

It is obvious she is acting because of the movement of internal situation (increase of firm's sales)

Thus, the scenario of method is definitely known as Competitive parity.

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Nicole is the Executive Director of a local food bank and is assessing the financial situation of her not-for-profit organization. Nicole uses a(n) ________ to determine whether revenues from contributions and other sources will cover operating costs.

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Nicole, who is assessing the financial situation of her not-for-profit organization an income statement to determine whether revenues from contributions and other sources will cover operating costs.

An income statement is a financial document that shows the income and expenditure of an organization over a period of time.

It helps the organization to know whether they are making a profit or incurring losses.

So, for Nicole to determine whether the revenue of the organization will cover operating costs, she needs to use the income statement.

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although hydroelectric dams generate electricity without producing greenhouse gases, they

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Despite that hydroelectric dams generate electricity without producing greenhouse gases, they eliminate farmland and wildlife habitats in the regions that are flooded.

Hydro-electricity is a source of electricity generated from force gotten from downfall of dam water.

Hydro-electricity are only generated from accumulation of large bank of rivers that may pose danger to farmlands and widelife habitat.

Hence, the Option C is correct because hydroelectric dams eliminate farmland and wildlife habitats in the regions that are flooded.

Missing option includes "a. are only able to contribute to about 5% of the electrical power throughout the world. b. are short-lived structures that have to be rebuilt about every 20 years. c. eliminate farmland and wildlife habitats in the regions that are flooded. d. alter water control in ways that make it more difficult to irrigate crops."

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Assuming the total GDP is $1000 billion, if the government increases spending from $800 billion to $900 billion and the initial interest rate was 6%, the long-term interest rate will be between 6.5% and ___%

Answers

Answer:

7%

Explanation:

i got it right .

50 POINTS
Nathan joined the US army as an infantryman. He is now serving in a foreign country, teaching local police forces how to use defensive tactics. What education might have been appropriate for Nathan to qualify for his job?

A. High school diploma
B. Associate degree in health services
C. Bachelors degree in mathematics
D. masters degree in law

Answers

Answer:

What education might have been appropriate for Nathan to qualify for his job?

A. High school diploma

(No need brainliest)

A High school diploma might have been appropriate for Nathan to qualify for his job. Thus, option A is the correct option.

What is a High school diploma?

When a high school student graduates, they are given a credential known as a high school diploma (or high school degree). After completing four-year courses of study, usually from grade 9 to grade 12, a high school diploma is granted. In both the United States and Canada, it is a requirement for graduation from high school.

According to the demands of the regional state or provincial government, the school awards the certificate. Depending on the jurisdiction, different streams or levels of high school graduation may have varying criteria for obtaining the diploma. They typically consist of a mix of chosen coursework that meets the requirements for a particular stream and passing scores on the state exit test.

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To succeed in the future, marketing must ________. rely more on mass marketing become more holistic focus on free-spending be more departmental build brands through promotion rather than performance

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Based on marketing strategies, to succeed in the future, marketing must become more holistic.

What is marketing?

Marketing is the process of promoting commodities and services in a way that results in to increase in its demands. It usually involves advertisements mad marketing research.

However, to be more successful in the future of the business, it is believed that marketing should become holistic and less departmental.

This implies that marketing should be carried out by every segment or unit of the business and not left to

marketing department alone.

Hence, in this case, it is concluded that the correct answer is option B. "become more holistic."

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When an advertiser is in the process of creating an ad and debates whether to run the ad on television or in print, the advertiser is deciding on which ______ to use. Multiple choice question. headline medium text message

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When an advertiser is in the process of creating an ad and debates whether to run the ad on television or in print, the advertiser is deciding on which medium to use.

Mass media simply means the array of media technologies that can be used to reach out to people. There are several mediums to reach out to people such as television, radio, newspapers, etc.

Since the advertiser wants to create an advertisement is deciding whether to run the ad on television or in print, then the person is deciding on the medium to use.

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HELP PLEASE

Companies create a division of labor among employees in order to:

O A. reduce the opportunity cost for hiring new employees.

O B. make it easier to shift employees between different jobs.

O C. allow each employee to perform one task at a high level.

O D. gain access to more human and physical capital.

Answers

Answer:

D

Explanation:

companies do this so everyone is more proficient with their bodies and their work

Is zero economic profit inevitable in the long run for monopolistically competitive firms? in the long run, monopolistically competitive firms.

Answers

Firms usually engage in a lot of activates for profit.  Zero economic profit  may continue to earn profit by reducing costs.

A monopolistic competitor, like some organizations often earn profits in the short run. The entry of some firms into the same market can bring about a shift in the demand curve faced by a monopolistically competitive firm.

When economic profit is zero, an organization is known to be earning the same as when its resources were used in the next best alternative.

See full question below

Is zero economic profit inevitable in the long run for monopolistically competitive firms? In the long run, monopolistically competitive firms

A. will not continue to earn profit because the cost of production will rise as new firms enter the market.

B. may continue to earn profit by convincing consumers their products are different.

C. will continue to earn profit due to barriers to new firms entering the market.

D. may continue to earn profit by instead beginning to produce a product identical to competitors.

E. will not continue to earn profit because monopolistically competitive firms produce identical products.

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When current output is less than potential output, which of the given monetary policies is the federal reserve (the fed) likely to enact?.

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The federal reserve is likely to enact that reserve requirement should be lower so that there will be a decrease the interest rate in the case when current output is less than potential output.

The Federal reserve does enhance the economy by reducing the interest rate that banks pay each other for overnight loans.

However, if the current output is greater than potential output, then, the FED would try to reduce current output by increasing the interest rate.

In conclusion, the federal reserve is likely to enact that reserve requirement should be lower so that there will be a decrease the interest rate in this case when the current output is less than potential output.

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Type the correct answer in the box. Spell all words correctly.

What is a continuous discussion to bring out innovative ideas from employees?

A _____ session is a continuous discussion to bring out innovative ideas from employees. (Using Plato for this)

Answers

The name which is given to the session that is a continuous discussion to bring out innovative ideas from employees is called:

Brainstorming

According to the given question, we are asked to state the  name which is given to the session that is a continuous discussion to bring out innovative ideas from employees.

As a result of this, we can see that when a group of workers sit down together to bring out a new idea that would be innovative  to their company, then we can say that they are brainstorming because they bring ideas that would improve overall business and profit

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When Federal Reserve Banks purchase government from commercial banks, they increase the reserves in the banking system, which then increases the lending ability of the commercial banks.

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When Federal reserve banks purchase government securities from commercial banks, they increase the reserves in the banking system and they also increase the lending ability of the commercial banks.

If the Federal reserves want to increase the reserves, what they do is to buy securities. They then make a deposit to the account held at the commercial bank.

An example is if the Feds should buy securities of 1000 dollars, the bank would be having an excess of 1000 dollars to lend.

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EconomicsAlthough GDP is a reasonably good measure of a nation's output, it does not necessarily include all transactions and production for that nation. Which of the following scenarios are either not accounted for or measured inaccurately by either the income or the expenditure methods of calculating GDP for the United States?
a. The value of baby-sitting services, when the babysitter is paid in cash and the transaction isn't reported to the government.b. The costs of air and water pollution.c. Funds spent by city governments to renovate their buildings.d. The leisure time they have.
When a U.S. company purchases and imports wood from Brazil to use to build new houses within the United States, this purchase increases the_____component of GDP while also_____net exports by the same amount. Therefore, the purchase of wood from Brazil_____in US GDP.

Answers

The following scenarios are either not accounted for or measured inaccurately by either the income or the expenditure methods of calculating GDP for the United States:  

a. The value of baby-sitting services, when the babysitter is paid in cash and the transaction isn't reported to the government.

b. The costs of air and water pollution

d. The leisure time they have

The purchase of wood from Brazil, the import component of GDP increases whole net exports decreases by the same amount. The purchase of wood from Brazil decreases US GDP.

Gross domestic product is the sum of final products produced in a country within a given period. GDP can be determined using the expenditure, income or value added product.

GDP calculated using the expenditure approach = Consumption spending + Investment spending + Government spending + Net export

Items not included in the calculation of GDP includes:  

1. Activities not reported to the government  

2. illegal activities

3. sale or purchase of used products

4. externalities

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terms like "can be," "as much as," and "help," are examples of

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Terms like "can be," "as much as," and "help," are examples of ambiguity

hope this helped!

General partners must obtain approval from a majority of the limited partners in order to manage the business. True or False

Answers

General partners do not have to obtain approval to run the business which means that this statement is FALSE.

In a Limited Partnership:

The limited partners are not involved in the running of the business The general partner makes all the relevant decisions involved in running the company

The general partner therefore, does not have to take permission from the limited partners to manage the business. The limited partners have limited roles with one of them being that they do not run the business.

In conclusion, this statement is false.

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Which statement describes an advantage of buying a home?
A. Purchasing a home builds equity.
B. Homes depreciate over time.
C. Your landlord may force you to move.
D. Your taxes increase.

Answers

A. purchasing a home does build equity

- homes usually don’t depreciate over time.
- when buying a home you don’t have a landlord.
- property taxes may go up, but that’s not an advantage.

Precious gems are an important natural resource of ________. Paraguay Brazil Mexico the Dominican Republic

Answers

Answer:

Brazil

Explanation:

if the firm can vary all factors of production, it is operating:

Answers

Answer:

in the short run.

Explanation:

True or false: Changes in cash are classified as either operating activities, direct activities or indirect activities.

Answers

The operating cash flows often uses the direct method of presentation. Changes in cash are classified as either operating activities, direct activities or indirect activities is a false statement.

Operating activities is said to be cash activities that are linked to net income.

The cash flow direct method often determines changes in cash receipts and payments.

The indirect method often takes the net income gotten in a period and adds or subtracts changes in the asset and liability accounts.

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if the entire output of a market is produced by a single seller, the firm

Answers

Answer:

that means the firm is very large

a Shannon has been a member of her school's newspaper club for 2 years and attends writing workshops in her free time. Which career choice should she explore? A. Museum Curator B. Web Content Developer C. Graphic Designer D. Business manager​

Answers

She could look into both option B and D but I’m leaning more towards D as She could use her writing and English skills to compose formal documents and prepare motivational and persuasive speeches. And her initiative and independence would also be solid qualities to have for a business manager.

what kind of potatoes are best for mashed potatoes?

Answers

Russets or Yukon Golds.

If the U.S. dollar appreciates, an MNC's: a. exports denominated in foreign currencies will probably increase. b. U.S. sales will probably decrease. c. interest owed on foreign funds borrowed will probably increase. d. exports denominated in U.S. dollars will probably increase. e. All of these choices are correct.

Answers

Most likely when the U.S. dollar appreciates, the MNC's interest owed on foreign funds borrowed will probably increase.

MNC refers to Multinational corporation .

The Multinational corporation are known to borrow from foreign bodies in dollars.

Hence, when the dollar appreciates, the amount owed to the foreign bodies will increase consequently.

Therefore, the Option C is correct because the MNC's interest owed on foreign funds borrowed will probably increase when U.S. Dollars appreciates.

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Why is Berkshire Hathaway underpreforming?

Answers

Answer:

no sales

Explanation:

How can you make the most of a tight budget?

a) making a list before shipping
b) buying on sale
c) setting good priorities
d) all of these

Answers

Answer:

D

Explanation:

most prob everything is good

Answer would be D

Explanation:
Setting good priorities can help you only spend money when needed
Buying things on sale help you save money
and making a list helps you budget before hand how much you need
therefor all of these are good ways to make the most of a tight budget

Hope I helped !

If a rental space measures 40 feet by 40 feet, what would the monthly rent be per square foot if the monthly rent totals $2,000

Answers

Square feet = Length x width:

Square feet of the space = 40 x 40 = 1600 square feet

Cost per square foot = cost / area

Cost per square foot = 2000 / 1600 = $1.25 per square foot

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