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Assume now that DELTA Corporations tax rate is 10% while IDLCs tax rate remained at 30% and IDLC revises its offer to reduce the lease

  1. Assume now that DELTA Corporations tax rate is 10% while IDLCs tax rate remained at 30% and IDLC revises its offer to reduce the lease payments to Tk. 50 million a year.

(i) Now find out the NPV to DELTA and to IDLC of the lease.

  1. Find out the minimum lease payments that IDLC can accept and maximum lease payments that DELTA can accept.

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