If a fully-taxable bond yields a BTROR of 10% (Rb = 10%)and a tax-exempt bond of similar risk earns a BTROR of 7.5% (Rf = 7.5%),then the implicit tax rate

If a fully-taxable bond yields a BTROR of 10% (Rb = 10%)and a tax-exempt bond of similar risk earns a BTROR of 7.5% (Rf = 7.5%),then the implicit tax rate is
A)25%.
B)75%.
C)10%.
D)None of the above.


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