Burnham Corporation is considering leasing a new equipment. The lease lasts for 8 years.The lease calls for 8 payments of $206,000 per year with the first payment occurring immediately. The equipment would cost $1,400,000 to buy and would be straight-line depreciated to a zero salvage value over 8 years. The actual salvage value is negligible because of technological obsolescence. The firm can borrow at a rate of 5%. The corporate tax rate is 25%. What is the NPV of the lease relative to the purchase?

		$18,654.72
		$11,932.09
		-$12,306.39
		$15,905.29
		-$19,560.22