Would you prefer a fully taxable investment earning 8.1 percent or a tax-exempt investment earning 6.1 percent? (assume a 28 percent tax rate) why?

Answers

Answer 1
Prefer the 6.1 percent tax-exempt investment. Let's do the math and see why the tax-exempt investment is the better choice. For the 8.1% taxable investment, you get taxed at the rate of 28%. Which means that you only get to keep 100%-28% = 72% of your gains. So 0.72 * 8.1 = 5.832 which means your effective earning percentage is only 5.832% which is less than the 6.1% rate you get for the tax-exempt investment. Another consideration that wasn't taken into account for the question is the earnings on the taxable investment may push you up into a higher tax bracket. Which in turn increases the tax burden on your other investments. So the better choice here is the 6.1% tax-exempt investment even though that first glance the 8.1% investment looks higher.
Answer 2
Final answer:

The tax-exempt investment with a 6.1 percent return would be preferable in this scenario due to its higher after-tax return compared to the fully taxable investment with an 8.1 percent return.

Explanation:

To determine whether a fully taxable investment earning 8.1 percent or a tax-exempt investment earning 6.1 percent is preferable, we need to consider the after-tax returns of both investments. For the fully taxable investment, the after-tax return can be calculated by multiplying the pre-tax return by (1 - tax rate). In this case, the after-tax return would be 8.1% * (1 - 0.28) = 5.832%. On the other hand, the tax-exempt investment has an after-tax return of 6.1 percent. Since the tax-exempt investment has a higher after-tax return, it would be preferable in this scenario.


Related Questions

Sharon is researching different weight-loss programs. she is evaluating each program's costs, ease of use, group support, and variety of choices. in the decision process, these four program differences that sharon is evaluating are called

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the answer to this question is determinant attributes
determinant attributes refers to the attribute that become the main reason on why consumers choose to buy a certain programs without considering things such as the face of advertisers model, or company's side cause. This usually only focus on the price of the products and the function of the products

Gerald is a mechanical engineer who can examine and detect a problem, determine cause and effect, and provide a solution. gerald's skill is called ______ skill.

Answers

Gerald's skill is called conceptual skill. Gerald's skill would be considered conceptual skill because he is able to think clearly about abstract ideas and also relate different conceptual topics together.

What transactions are included in income from continuing operations? briefly explain why it is important to segregate income from continuing operations, from other transactions affecting income?

Answers

Transactions that are included in continuing operations are income from revenue,expenses, gains and losses.These are the components that will probably continue in future periods. It is important to segregate income from continuing operations from other transactions that affecting net income, because the information will help analysts predicts future cash flows.

“If I want to offer a member rewards program to dog owners who use our facility regularly and seek feedback from those who use it once and never come back, what tool should I be looking at?”

Answers

The answer is customer relationship management system. This is a term that discusses about practices, approaches and technologies that companies use to accomplish and examine customer relations and data during the course of the customer lifecycle, with the objective of improving business relationships with customers, assisting in customer retention and driving sales growth. These systems are intended to accumulate information on customers across different channels. CRM systems can likewise offer customer-facing staff detailed information on customers' personal information, buying preferences purchase history, and concerns.

When faced with a business problem, sally, a young grocery store owner, discusses business problems with don, the assistant manager and an employee for over 30 years. sally believes don "has seen it all" and knows there are few really new ideas; plus the business has done many simple things, such as offering friendly service, to create and maintain a competitive edge. sally's management style is best described as?

Answers

I would say that Sally's business style would be consultative ie relying on very experienced employees with lots of work history to help her evaluate her business problem and to perhaps suggest solutions based on tried and true practices. I believe the option would be "evidence-based" management.

​megan hughes deposits $2300 in an account that pays simple interest. when she withdraws her money 8 months later, she receives $2484.00. what rate of interest did the account pay? round to the nearest whole percent.

Answers

2484
(2300)
---------
184

184 / 8 = 23

23 / 2300 = .01 -->1%

Based on the amount that Megan received after 8 months, the rate of interest on the account was 12% annually.

What was the interest rate for Megan?

The monthly rate is:

= ((2,484 - 2,300) / 2,300) / 8 months

= 8% / 8 months

= 1%

In a year that is:

= 1% x 12 months

= 12%

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What is the annual percent change in the striped bass population?

Answers

The annual change in the striped bass population, from 1985 to 2000, was seven percent. This was the amount it increased, which happened because conditions were favorable and there was enough food to sustain a larger population, If there were to be more predators, or the food supply decreased, the population would go down.

In order to make up for a budget deficit, the government can do what?

Answers

The most appropriate method of which the government should do in having to make up with a budget deficit that have happened, they should issue bonds in which will make bonds stronger, making up with the budget deficit that had occurred.

The loan period does not affect the total cost of the loan

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true true true true true true true
True true true true

From papyrus, the _______ made a type of paper. assyrians babylonians egyptians sumerians

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Papyrus is a kind of plant that grows in water. The ancient Egyptians cultivated the plant to make a kind of writing material which is called papyrus. Thus, papyrus is both the name of the plant and the name of the writing material. To make long scrolls to write hieroglyphs, the ancient Egyptians used the papyrus plants. As the plants were drying in the sun, the ancient Egyptians used hammers to join different pieces of papyrus together, which resulted in long scrolls of connected parts.
The correct answer to the original question is: Egyptians

Answer:

egyptians

Explanation:

egyptians

The final task in designing a management information system (mis) is _____.

Answers

Final answer:

The final task in designing an MIS is to communicate results to the client or customer and making sure it fulfills their needs and expectations, with client focus and robust database management being critical for success.

Explanation:

Final Task in Designing a Management Information System (MIS)

The final task in designing a Management Information System (MIS) is to communicate results and ensure the appropriate client or customer is fully informed about the system. This includes confirming the system meets the expected requirements and ensuring end-user participation is considered. The emphasis on client focus, end-user participation, and robust database management is crucial. Without these, the system risks not satisfying the client's needs or failing to be utilized effectively by the end-user, leading to project failure. Database management should consider the metadata and the six essential components of data collection: what, how many, where, when, how, and who collected the data. To facilitate the successful implementation of MIS, it is recommended to involve a skilled database manager who can maintain the system and adapt it to evolving needs.

Americans _____ centralized leadership and have consistently sought to _____ its power.

Answers

When it comes to the American perceptions of centralized leadership, it is found that the United States has constantly favored the idea of centralized power in government, and have consistently aimed at increasing and consolidating the powers within this system.

Microsoft research indicates that ________ of user sessions in word contain no editing.

Answers

A: two-thirds
       
Windows app developers explained that they found two-thirds of the sessions did not have any editing done to them. This is why they made some of the updates they made in creating the new Word that focused on helping when people were reading content and not just creating it.

​the principle of _________ is the premise for elliot erwitt’s humorous photograph felix, gladys, and rover.

Answers

The answer is variety within unity. It is because this is the principle being described above in which has became a premise of the humorous photograph of Elliot Erwitt towards Felix, Gladys and Rover. It is a principle that changes the character of a certain element.

Purchasing agents derive much of their power within the buying center through which role?

Answers

Purchasing agents by being the ones who control the money that a particular company spends in other words  the amount of money and which vendors are chosen therefore have significant economic power. Also they can influence the speed with which an order can be obtained partly by controlling which carriers pick it up and deliver it  and by explaining to the manufacturer the urgency of the order.Their role is that of the intermediary between the purchasing company and the vendors.

Trevor's business is the spicy chocolatier café chain. "the spicy chocolatier café" is

Answers

The correct answer is a trade name.
A trade name is just another way of saying a business name. Since Trevor owns a business, he needs to name is somehow so that he can fill in all paperwork and people will be able to know what business they are going in. His business, or trade name in this case is "The Spicy Chocalatier Cafe."
Final answer:

The 'spicy chocolatier café' refers to Trevor's business, suggesting it's a café chain offering unique spicy chocolate dishes. As a USP, this would target a niche market of consumers seeking novel sensory experiences.

Explanation:

In this sentence, 'the spicy chocolatier café' refers to Trevor's business. It's a chain of cafes that likely specializes in selling spicy chocolate products or beverages. The term captures both the type of business (café chain) and its unique selling point/proposition (USP), which is the spicy chocolate.

This could imply anything from chocolate infused with chili peppers to chocolate-covered spicy snacks. As a business, it would likely focus on marketing these unique combinations to attract customers who are looking for a novel sensory experience. The success of the business would depend on how well the niche market responds to this unique mix of flavors.

Learn more about Trevor's business here:

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A low credit score can lead to A. lower monthly loan payments. B. denial of credit or loans. C. a more favorable interest rate. D. access to incentives.

Answers

The answer should be B

Answer:

B

Explanation:

Right on edge :))

When inside a closed work environment, it's okay to openly talk with co-workers about pii?

Answers

No, i don't think so
In this context, PII stands for  personally identifiable information, which is a type of information that could be used to identify a certain individual, such as social security number. You don't know the true characteristic of your co-workers , so it is safer to keep your PII to yourself

Checking for quality and paying creditors would fall within which two functional​ areas?

Answers

Checking for quality fall within MANUFACTURING AND PRODUCTION AREA while paying creditor fall within FINANCE AND ACCOUNTING AREA.
There are many functional areas in business, each functional area is responsible for performing specific functions.

A best-seller novel sells for $28 in hardback edition and $12 in a paperback edition. a book store's sales of both editions totaled $1,356. if 65 copies of this novel were sold, how many hardback edition were sold

Answers

The number of each type of book is what is unknown, so we can represent those quantities with variables. Let x = the number of hardbacks and y = the number of paperbacks. Then we know that: x + y = 65 (the total number of books sold) We also know the total cost of both editions, which is $1356. It can be written algebraically as: 28x + 12y = 1356 We now have a system of two equations, which can be solved by substitution. It would be easier to solve the first equation for either x or y and substitute that into the second equation. 

Which of the four principal managerial functions were exhibited by ceo greg steinhafel?

Answers

The four principle managerial functions exhibited by CEO Greg Steinhafel were determining the company's strategy, articulating priorities, aligning others to execute strategy, and clearly motivating employees to ensure continue success.

A local hamburger shop sold a combined total of 601 hamburgers and cheeseburgers on monday. there were 51 more cheeseburgers sold than hamburgers. how many hamburgers were sold on monday?

Answers

Let number of hamburgers be N, and number of cheese burgers be (N + 51).

The total sold: N + (N + 51) = 601
=> 2N + 51 = 601
=> (2N + 51) - 51 = 601 - 51
=> 2N = 550
Divide through by 2:
=> N = 275

There were 275 hamburgers sold on Monday.

Final answer:

The hamburger shop sold 275 hamburgers on Monday, found by solving the system of equations representing the total sales and the difference between the number of cheeseburgers and hamburgers sold.

Explanation:

To determine the number of hamburgers sold on Monday, let's denote the number of hamburgers sold as H and the number of cheeseburgers sold as C. According to the information provided, the total number of hamburgers and cheeseburgers sold was 601, which gives us the equation H + C = 601. Additionally, it was mentioned that there were 51 more cheeseburgers sold than hamburgers, which can be represented by the equation C = H + 51.

Let's substitute the second equation into the first one:

H + (H + 51) = 6012H + 51 = 601Subtract 51 from both sides to isolate the term with H: 2H = 601 - 512H = 550Divide both sides by 2 to find H: H = 275

Therefore, the hamburger shop sold 275 hamburgers on Monday.

"hunting for a job is a job in itself. use these helpful tips for a successful job search — like having the right attitude, networking, and researching the marketplace — to find and land a job in the career of your choice."

Answers

So, what's the question?..

The Law of Demand is called a law because

Answers

The Law of Demand is a microeconomic law that states, all other factors being equal, as the price of a good or service increases, consumer demand for the good or service will decrease, and vice versa. 

Give an account of how the digital age has affected lawmaking in the united states. question 5 options: spell check

Answers

In a span of about three decades since its first commercial development,  computers have revolutionized society.
This makes a lot of crimes are created by utilizing this very technology. This affects the lawmaking process because now the government has to make several regulations regarding the legal use of this technology (such as regulations regarding digital security breach)

The ________ is a document that includes an assessment of the marketing situation, marketing objectives, and marketing initiatives.

Answers

A Marketing plan Is the document.

Why is private property important for technological progress to occur?

Answers

Private property includes the right to intellectual property. This means that you have the right to claim your inventions, and the income associated with them, as your own, giving you an incentive to invent new things. Technological process would be less lucrative to the people driving it if they were not guaranteed ownership, at least for a certain period of time, of their newly developed intellectual property. This would create less incentive to innovate, resulting in slower technological progress. 

Private property is crucial for technological progress because it provides individuals and businesses with the incentive to invest in and develop new technologies. It ensures that creators can reap the benefits of their innovations, leading to more investment in research and development. Without property rights, there would be little motivation to risk time and resources on new technologies.

Private property rights mean that inventors and businesses can control the use of their creations, giving them a financial stake in their innovations. This potential for profit drives them to invest time and resources into developing new technologies.

When companies and individuals know they will benefit from their investments in technology, they are more likely to undertake costly and risky research and development projects. This leads to higher levels of technological advancement and innovation in society.

Without the security of property rights, there would be little to no protection against others copying or stealing innovations, significantly reducing the incentive to innovate. This would slow down technological progress.

Moreover, the profits generated from these technologies can be reinvested into further research and development, creating a cycle of continuous improvement and innovation.

Office supplies had a normal starting balance of 75 there were debit postings of 80 and credit posting of 60 during the month the ending balance is a

Answers

starting balance 75
Add debit posting 80
Less credit posting 60

Ending balance=75+80−60=95 this balance transferred to the debit side

Hope it helps!

Mark can cook dinner in 30 minutes and wash the laundry in 20 minutes. his roommate takes half as long to do each task. how should the roommates allocate the work?
a. mark should do more cooking based on his comparative advantage
b. mark should do more of the washing based on his comparative advantage
c. mark should do more of the washing based on his absolute advantage
d. there are no gains from trade in this situation

Answers

The answer is letter D. There is no gains from trade in this situation. Both of them can manage their time properly, even they trade their situation no one can gain in the things they wanted to do. The roommate didn't need to allocate the work because there is no gains from the trade in this situation.
Final answer:

Mark and his roommate should divide tasks based on the concept of comparative advantage. Although they have the same opportunity cost ratio and no comparative advantage over each other, Mark should do more of the washing, and his roommate should do more cooking, which allows them to specialize and complete tasks more efficiently.

Explanation:

In the given scenario, Mark can cook dinner in 30 minutes and wash the laundry in 20 minutes, while his roommate can perform each task in half the time it takes Mark. To decide how the roommates should divide the tasks, we need to consider the concept of comparative advantage.

Comparative advantage occurs when someone can perform a task at a lower opportunity cost than others. The roommate takes 15 minutes to cook and 10 minutes to wash, indicating that Mark and his roommate have the same opportunity cost ratio between cooking and washing—they can each give up 1.5 minutes of cooking for every minute of washing they perform. Since there is no difference in their opportunity costs for the tasks, the roommates do not have a comparative advantage over each other.

However, even without a comparative advantage, they can still benefit from specialization and trade. Specifically, Mark should specialize in the task he can perform relatively faster (washing the laundry), and his roommate should specialize in cooking, mainly because they both can perform these tasks at the same opportunity cost ratio, and this specialization will allow them to finish the tasks more efficiently overall despite the lack of comparative advantage.

The numbers on the bottom of a typical check represent all of the following EXCEPT? A Social Security Number B Routing Number C Account Number D Check Number

Answers

The answer is "A, Social Security Number".


The Social Security number (SSN) was made in 1936 for the sole reason for following the income chronicles of U.S. specialists, for use in deciding Social Security advantage privilege and processing advantage levels. From that point forward, utilization of the SSN has extended significantly. Today the SSN might be the most normally utilized numbering framework in the United States. As of December 2008, the Social Security Administration (SSA) had issued more than 450 million unique SSNs, and about each legitimate occupant of the United States had one.

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