An asset used in a four-year project falls in the five-year MACRS class for tax purposes. The asset has an acquisition cost of $8,000,000 and will be sold for $1,840,000 at the end of the project. MACRS Table is shown below.

Year	3-Year	5-Year	7-Year
1	33.33%	20.00%	14.29%
2	44.45	32.00	24.49
3	14.81	19.20	17.49
4	7.41	11.52	12.49
5		11.52	8.93
6		5.76	8.92
7			8.93
8			4.46

What is the book value of the equipment in Year 4?

If the tax rate is 35 percent, what is the aftertax salvage value of the asset?