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eBook A store has 5 years remaining on its lease in a mall. Rent is $2,100 per month, 60 payments remain, and the next payment

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eBook A store has 5 years remaining on its lease in a mall. Rent is $2,100 per month, 60 payments remain, and the next payment is due in 1 month. The mall's owner plans to sell the property in year and wants rent at that time to be higher that the property will appear more valuable. Therefore, the store has been offered a great deal owner's words) on a new s-year lease. The new last calls for no rent for 9 months, the payments of $2,500 per month for the next 51 month. The lease cannot be broken, and the store's WACC IS 12% (or 1 per month). a. Should the new lease be accepted? (Mint: Be sure to use 1% per month.) No b. If the store owner decided to bargain with the mail's owner over the new lease payment, what new lease payment would make the store owner Indifferent between the new and old leases? (Hint: Find FV of the old lease's original costatt - 9; then treat this as the PV of a 51-period annuity whose payments represent the rent during months 10 to 60.) Do not round intermediate calculations. Round your answer to the nearest cent. 3 c. The store owner is not sure of the 12% WACC-It could be higher or lower. At what nomina WACC would the store owner beindiferent between the two leases(Mat Calculate the differences between the two payment streams, then find its IRR) Do not round intermediate calculations. Round your answer to two decimal places $

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