Question: You work for a nuclear research laboratory that is contemplating leasing a diagnostic scanner. The scanner costs $5,400,000 and it would be depreciated straight-line to

You work for a nuclear research laboratory that is contemplating leasing a diagnostic scanner. The scanner costs $5,400,000 and it would be depreciated straight-line to zero over five years. Because of radiation contamination, it actually will be completely valueless in five years. You can lease it for $1,340,000 per year for five years. The tax rate is 24 percent. You can borrow at 8 percent before taxes. What is the NAL of the lease from the lessor's viewpoint?

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