Response to the following:
Using the 15 percent marginal tax bracket :
A) A tax-free money market mutual fund is currently yielding 2.40 percent. Should the Dumonts move their savings or keep their money in the bank earning 3 percent ?
B) If a U.S. Treasury note is currently yielding 8 percent , what is the minimum interest rate that the Dumonts must receive in order to purchase an equivalent municipal bond?