Imagine a coffee chain interested in acquiring a roaster. If they lease this roaster, they have to pay $10,300 per month for five years starting immediately. If the coffee chain wants to buy this roaster, they have to pay $200,000 today, $200,000 at the end of month 6, and the residual balance at the end of year 1 . If this coffee chain's discount rate is 9% pa and they are indifferent between leasing and buying the roaster, what is the residual balance payment at the end of year 1 ? $113,750 $124,950 $118,870 $110,510 $130,640