a) Yang Motorbikes entered into a non-cancellable, five-year lease agreement on 1 April 2010. The lease was for a piece of complicated equipment with a related service component which is expected to have an economic life of twelve years, after which time it will have an expected residual value of $210,000. Ownership is not transferred. There are to be five annual payments of $350,000, the first to be made on 31 March 2011 (i.e. lease payments are payable at the end of the year). Included in the $350,000 is S35,000 representing payment for administrative processing. Straight line depreciation is used. The interest rate is 5% (Assume 31 March year-end) Questlon A rival competitor, Blake Motorblkes, also leases the complicated plece of equipment but does not capltallse the lease (l.e. It slmply records rent expense). Blake Motorblkes makes a return on assets of 8%. Currently Yang Motorblkes has assets of $10 mllion and an EBIT of $800,000, whlch also results In a ROA of 8%. Yang thinks her company Is more efficlent than Blake Motorblkes. Explaln to her whether this is true or not by recalculating the ROA of Yang Motorblkes as It would be If the same accounting methods as Blake Motorblkes were used