Jacob is considering a short-term tax-exempt municipal bond with a 7% beforetax yield and a comparable taxable corporate bond with an 9% before-tax yield. Determine if the short-term tax-exempt municipal bond or the comparable taxable corporate bond will give Jacob the higher after-yield if his tax bracket is: i. 0% ii. 10% iii. 22% iv. 24% v. 35% vi. 37% Show all your calculations. 9 marks b. Find the equivalent taxable yield of the short-term tax-exempt municipal bond in part (a) of above for each of the following tax brackets: i. 0% ii. 10% iii.22% iv.24% v. 35% vi.37% Show all your calculations. 9 marks c. Esther is evaluating a corporate bond with 8.2% before-tax yield and a taxexempt municipal bond with a 6% before-tax yield. All else the same, at what marginal tax bracket would Esther be indifferent between investing in the corporate bond and investing in the municipal bond? Show all your calculations. 3 marks d. Jason, who is in 35% tax bracket, is thinking about to buy bond. What is Jasons after-tax return if he has bought a taxable corporate bond with a yield of 8%. What is Jasons after-tax return if he has bought a tax-exempt municipal bond with a yield of 5%? How will Jason decide which bond to buy? Explain your answers and show all your calculations.