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A taxpayer is considering buying a fully taxable corporate bond (5 year maturity), yielding 6%...

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Accounting

A taxpayer is considering buying a fully taxable corporate bond (5 year maturity), yielding 6% annual returns (compounded and payable annually)and a face value of $1,000. Alternately, the taxpayer is considering investing in a municipal bond (muni) that pays 6% annually, the same as the corporate bond with the same risk and maturity. The taxpayer requires a 6% AFTER-TAX yield and faces a 21% tax rate. What PRICE is the investor willing to pay for the MUNI to earn the required 6% after tax return? Please enter your response in dollars and cents and no "$" sign or commas ($1,143.23 = 1143.23)

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