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8. Roses Dept Store signed a finance lease for delivery equipment with a useful life of 10 years.Wonder will pay $3,000 at the end of
8. Roses Dept Store signed a finance lease for delivery equipment with a useful life of 10 years.Wonder will pay $3,000 at the end of each of the next 6 years with the option of renewing the lease one more year at a greatly reduced payment of $1,000. The interest rate is 8%. When the lease is over, Wonder has no option of buying the equipment.The first 6 years are not cancellable.There are no residual value guarantees.At what amount should the company value the lease (whole dollars, no decimals)?
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