Leasing Assignment Value Corp (ABC), is considering leasing an asset from Lintin Corp (XYZ). Here are the relevant facts: Asset Cost is $1,000,000 Depreciation schedule 20% 32% 19.20% 11.52% 11.52% 5.76% Year 1 Year 3 Year 4 Year 5 Year 6 Lease term 6 years $200,000 per year, from time O to 5 Lease payment Asset residual value 0 Tax rates Value Corp Tintin Corp 0% 40% Note: Value Corp. has tax-loss carryforwards which prevent it from utilizing any additional tax shields. Value Corp's interest costs are 10% and Tintin's are 7%. Show that it will be advantageous for Value Corp to lease the asset and for Tintin Corp. to purchase the asset in order to lease it out to Value Corp. Find the maximum rental which value Corp will pay and the minimum rentaf which Tintin will accept. 1. 2