Business, 30.10.2020 17:20 mocheal8216

Assume that Shavonne's marginal tax rate is 37 percent and her tax rate on dividends is 20 percent. If a corporate bond pays 8.8 percent interest, what dividend yield would a dividend-paying stock (with no growth potential) have to offer for Shavonne to be indifferent between the two investments from a cash-flow perspective?

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Assume that Shavonne's marginal tax rate is 37 percent and her tax rate on dividends is 20 percent....