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Firm X buys equipment for $8,000 and leases the equipment to firm A for $600 a year for six years. After six years, firm X

Firm X buys equipment for $8,000 and leases the equipment to firm A for $600 a year for six years. After six years, firm X expects to sell the asset for $7,000.

What is the return that firm X earns on the lease? Use Appendix B and Appendix D to answer the question. Round your answer to the nearest whole number. %

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