Question: Consider the example in this deck with the following criteria: o Cost of Equipment: $1M o Annual Maintenance: $20K o Residual Value at Y4: $200K

Consider the example in this deck with the following criteria:

oCost of Equipment: $1M

oAnnual Maintenance: $20K

oResidual Value at Y4: $200K

oTerm of the Lease Agreement: 4 years

oDiscount Rate: 6%

oCCA Depreciation Rate: 30% of remaining amount annually

Assume that the lease amount is fixed over four years

Using Solver, determine the minimum lease amount that the lessor should accept

Send the solution on a spreadsheet via e-mail

* Please solve it on spreadsheet

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