5. Refer to lease footnote extracted from Nordstrom's 10-K report filed with the SEC for the fiscal year ended on January 28, 2006. All numbers are reported in thousands (i.e., as reported by Nordstrom). Future minimum lease payments as of January 28, 2006 are as follows: Fiscal Year 2006 2007 2008 2009 2010 Thereafter Total minimum lease payments Less amount representing interest Present value of net minimum lease payments Capital Leases Operating Leases $1,946 $73,389 1.946 73,296 1,946 70,525 1.376 67,892 1,270 63,524 6,990 332.016 15,474 $680,642 (6,137) $9,337 Using a discount rate of 10%, what is the magnitude of the off-balance sheet lease liability on January 28, 2006? Note that the company reported under the old lease accounting standard. For this question, assume that after the fiscal year 2010 operating lease payments will be evenly split over the following five years. Assume that all payments are made at the end of each year. (Hint: You simply need to calculate the present value of future operating lease payments) a. approximately $15,474 b. approximately $680,642 c. approximately $453,508 d. approximately $422,392