A secured bond would, 1 a secured bond would requirea a plan for paying off the bond at, Financial Management

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A secured bond would

1. A secured bond would require:

a. a plan for paying off the bond at maturity

b. no restrictive covenants

c. an independent trustee

d. a claim on specific assets in the event of default

2. Equipment is purchased for $1,000,000 (no salvage value) in cash. The company uses straight line depreciation for 7 years. Assume no other fixed assets. What is the Accumulated Depreciation balance at the end of year 3?

a. $571,429

b. $142,857

c. $428,571

d. $0

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