What is the depreciation expense in year three

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1. A project requires $74,504 of equipment that is classified as a 7-year property. What is the depreciation expense in Year 3 given the following MACRS depreciation allowances, starting with year one: 14.29, 24.49, 17.49, 12.49, 8.93, 8.92, 8.93, and 4.46 percent?

2. ABC Company is issuing a new bond with a par value of $1,000 and a coupon rate of 5%. The time to maturity is 12 years and the Yield to Maturity is 7.35%.If coupon payments are semi-annual, what is today's price of this bond?

Reference no: EM132022677

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