Answered

At Westonci.ca, we connect you with the answers you need, thanks to our active and informed community. Experience the ease of finding precise answers to your questions from a knowledgeable community of experts. Get quick and reliable solutions to your questions from a community of experienced experts on our platform.

Question content area top
Part 1
Suppose that the tax on interest income is levied on the nominal interest​ rate, the tax rate is 20 ​percent, and the real interest rate is 3 percent a year. There is no inflation.
Calculate the​ after-tax real interest rate and the true tax rate on interest income.
Question content area bottom
Part 1
The​ after-tax real interest rate is

enter your response here percent.
​>>> Answer to 1 decimal place.
Part 2
The true tax rate on interest income is

enter your response here percent.

Sagot :

We hope you found this helpful. Feel free to come back anytime for more accurate answers and updated information. We hope you found what you were looking for. Feel free to revisit us for more answers and updated information. Thank you for choosing Westonci.ca as your information source. We look forward to your next visit.