An asset costs $

$9$

$7$

$0$

$,$

$0$

$0$

$0$

$$and will be depreciated in a straight

$-$

line manner over its three

$-$

year life. It will have no salvage value. The corporate tax rate is

$2$

$4$

$$percent and the appropriate interest rate is

$6$

$$percent$.$

$$

a

$.$

$$

What would the lease payment have to be to make both the lessor and lessee indifferent about the lease?

$($

Do not round intermediate calculations and round your answer to

$2$

$$decimal places, e

$.$

g

$.$

$,$

$3$

$2$

$.$

$1$

$6$

$.$

$)$

b

$.$

$$Assume that the lessee pays no taxes and the lessor pays taxes. For what range of lease payments does the lease have a positive NPV for both parties?

$($

Enter your answers from lowest to highest. Do not round intermediate calculations and round your answers to

$2$

$$decimal places, e

$.$

g

$.$

$,$

$3$

$2$

$.$

$1$

$6$

$.$

$)$