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Marginal Tax Rate

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Market Value of a condominium 5%
Municipal bonds expected annual yield 5%
High-yield corporate stocks 8%
Savings Account 3% annual yield
High growth common stocks 10% annual yield

How do I calculate a 28% marginal tax rate on all investments?

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Solution Summary

Marginal Tax Rate is calculated.

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ASSUMPTIONS
1. MUNICIPAL BONDS ARE ASSUMED TAX FREE
2. NO TAX EFFECT ON VALUE OF CONDOMINIUM AS ASSUMED THAT IT WILL NOT BE SOLD IN SHORT TERM

AFTER ONE YEAR
INVESTMENT RATE OF RETURN POST TAX RETURN VALUE OF INVESTMENT
CONDOMINIUM ...

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