1. A bond is currently selling for $1200, with a coupon of 4.5% semi-annual. If two months are remaining to the next semiannual coupon payment then the accrued interest amount is $15 ( approx.)

   True

   False

2. White Linen Inc. had a tax rate of 35% in 2020 and the after-tax cost of debt was 5.2%. This year in 2021 the tax rate is 40%. Therefore, the weighted average cost of capital (WACC) for White Linen will be more than 5.2%.

   True

   False