TABLE OF TAXABLE EQUIVALENT YIELDS
"BANK-QUALIFIED" INSTRUMENTS
C CORPORATION BANKS
Percentage of Interest Expense Disallowed 20.00%
Federal Marginal Income Tax Rate 34.00%
Cost of Funds
2.00% 2.50% 3.00% 3.50% 4.00% 4.50% 5.00% 5.50% 6.00% 6.50% 7.00% 7.50% 8.00% 8.50% 9.00%
Municipal Bond Rate
3.00% 4.33% 4.27% 4.22% 4.17% 4.11% 4.06% 4.00% 3.95% 3.89% 3.84% 3.79% 3.73% 3.68% 3.62% 3.57% 3.25% 4.71% 4.65% 4.60% 4.54% 4.49% 4.44% 4.38% 4.33% 4.27% 4.22% 4.17% 4.11% 4.06% 4.00% 3.95% 3.50% 5.09% 5.03% 4.98% 4.92% 4.87% 4.81% 4.76% 4.71% 4.65% 4.60% 4.54% 4.49% 4.44% 4.38% 4.33% 3.75% 5.46% 5.41% 5.36% 5.30% 5.25% 5.19% 5.14% 5.09% 5.03% 4.98% 4.92% 4.87% 4.81% 4.76% 4.71% 4.00% 5.84% 5.79% 5.74% 5.68% 5.63% 5.57% 5.52% 5.46% 5.41% 5.36% 5.30% 5.25% 5.19% 5.14% 5.08% 4.25% 6.22% 6.17% 6.11% 6.06% 6.01% 5.95% 5.90% 5.84% 5.79% 5.73% 5.68% 5.63% 5.57% 5.52% 5.46% 4.50% 6.60% 6.55% 6.49% 6.44% 6.38% 6.33% 6.28% 6.22% 6.17% 6.11% 6.06% 6.00% 5.95% 5.90% 5.84% 4.75% 6.98% 6.93% 6.87% 6.82% 6.76% 6.71% 6.65% 6.60% 6.55% 6.49% 6.44% 6.38% 6.33% 6.28% 6.22% 5.00% 7.36% 7.30% 7.25% 7.20% 7.14% 7.09% 7.03% 6.98% 6.93% 6.87% 6.82% 6.76% 6.71% 6.65% 6.60% 5.25% 7.74% 7.68% 7.63% 7.57% 7.52% 7.47% 7.41% 7.36% 7.30% 7.25% 7.20% 7.14% 7.09% 7.03% 6.98% 5.50% 8.12% 8.06% 8.01% 7.95% 7.90% 7.85% 7.79% 7.74% 7.68% 7.63% 7.57% 7.52% 7.47% 7.41% 7.36% 5.75% 8.50% 8.44% 8.39% 8.33% 8.28% 8.22% 8.17% 8.12% 8.06% 8.01% 7.95% 7.90% 7.84% 7.79% 7.74% 6.00% 8.87% 8.82% 8.77% 8.71% 8.66% 8.60% 8.55% 8.49% 8.44% 8.39% 8.33% 8.28% 8.22% 8.17% 8.11% 6.25% 9.25% 9.20% 9.14% 9.09% 9.04% 8.98% 8.93% 8.87% 8.82% 8.76% 8.71% 8.66% 8.60% 8.55% 8.49% 6.50% 9.63% 9.58% 9.52% 9.47% 9.41% 9.36% 9.31% 9.25% 9.20% 9.14% 9.09% 9.04% 8.98% 8.93% 8.87% 6.75% 10.01% 9.96% 9.90% 9.85% 9.79% 9.74% 9.69% 9.63% 9.58% 9.52% 9.47% 9.41% 9.36% 9.31% 9.25% 7.00% 10.39% 10.33% 10.28% 10.23% 10.17% 10.12% 10.06% 10.01% 9.96% 9.90% 9.85% 9.79% 9.74% 9.68% 9.63% 7.25% 10.77% 10.71% 10.66% 10.61% 10.55% 10.50% 10.44% 10.39% 10.33% 10.28% 10.23% 10.17% 10.12% 10.06% 10.01% 7.50% 11.15% 11.09% 11.04% 10.98% 10.93% 10.88% 10.82% 10.77% 10.71% 10.66% 10.60% 10.55% 10.50% 10.44% 10.39% 7.75% 11.53% 11.47% 11.42% 11.36% 11.31% 11.25% 11.20% 11.15% 11.09% 11.04% 10.98% 10.93% 10.87% 10.82% 10.77% 8.00% 11.90% 11.85% 11.80% 11.74% 11.69% 11.63% 11.58% 11.52% 11.47% 11.42% 11.36% 11.31% 11.25% 11.20% 11.15% 8.25% 12.28% 12.23% 12.17% 12.12% 12.07% 12.01% 11.96% 11.90% 11.85% 11.80% 11.74% 11.69% 11.63% 11.58% 11.52% 8.50% 12.66% 12.61% 12.55% 12.50% 12.44% 12.39% 12.34% 12.28% 12.23% 12.17% 12.12% 12.07% 12.01% 11.96% 11.90% 8.75% 13.04% 12.99% 12.93% 12.88% 12.82% 12.77% 12.72% 12.66% 12.61% 12.55% 12.50% 12.44% 12.39% 12.34% 12.28% 9.00% 13.42% 13.37% 13.31% 13.26% 13.20% 13.15% 13.09% 13.04% 12.99% 12.93% 12.88% 12.82% 12.77% 12.71% 12.66%
Note: The table of taxable equivalent yields shown above is for commercial banks. This table assumes that the bonds constitute qualified tax-exempt bonds which are only subject to the 20% interest expense disallowance.
A 34.0% marginal Federal tax rate is assumed to be in effect over the life of the bonds.
Cost of funds is total annual interest expense as a percentage of total average assets.
The information is not guaranteed but is believed to be accurate within the above limitations.