The marginal income tax rate is 35% and before tax rate of return is 12.5% then the after tax rate of return is __________?
A0.0713
B0.08125
C0.0913
D0.0613
Correct answer
B. 0.08125
Explanation
0.08125 is the correct answer. Review the question and compare it with the other choices to remember this fact for future exams.