Financial lease: Your firm require a new computer system. It can either buy it for $150,000 or lease it. The lease agreement four annual payments of $46,000 ( per year) with the first payment due today. The relevant tax rate for your firm is 35%. your firm can borrow at a rate of 10%. The computer system can be depreciated using the straight-line method over the next three years( beginning in one year from today) to a salvage value of zero. Analyze this lease from the view point of the lessee(i.e, the user).

(a) Compute the value of the lease? please show all of your cash flow in a table format.

(b) Compute the value of the lease if your firm did not pay any taxes. please show all of your cash flow in a table format.