Question: Open Book Question >Week 8 Consider the example in this deck with the following criteria: *Cost of Equipment: $1M *Annual Maintenance: $20K *Residual Value at

Open Book Question >Week 8

Consider the example in this deck with the following criteria:

*Cost of Equipment: $1M

*Annual Maintenance: $20K

*Residual Value at Y4: $200K

*Term of the Lease Agreement: 4 years

*Discount Rate: 6%

*Tax Rate: 40%

*CCA 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 (individual)

PLEASE USED SOLVER TOOL IN EXCEL AND SHOW THE CONSTRAINTS USED IT

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