Jeff & Bezos is a fresh groceries delivery company. The company has access to

borrowing funds at a pre$-$tax rate of $7\%$ per year. Jeff & Bezos pays income taxes using

$24\%$ tax rate.

The company would like to start using high$-$speed low$-$altitude drones to deliver grocery

purchases directly to residential customers' backyards. By doing so$,$ the company would

be saving $$2\mathrm{.}7$ million pre$-$tax every single year.

Jeff & Bezos is contemplating leasing the drones for a lease term that matches the

drones' economic life. It would lease them from a different company, Nets & Flicks, that

currently owns the required number of the drones. Doing that would have an estimated

pre$-$tax annual cost of $$2,130,000.$ Nets & Flicks' requirement is that the lease payments

are made by Jeff & Bezos at the beginning of each year.

Instead of leasing the fleet of the drones, Jeff & Bezos is also contemplating buying

them, which would cost the company $$9\mathrm{.}4$ million. If the company chooses to buy them,

the drones would be losing their economic value following the straight$-$line depreciation

method during their five$-$year life. The fleet of drones, due to their heavy usage, would

have no salvage value at the end.

Jeff & Bezos' net advantage to leasing, or NAL, equals

$($Do not round

intermediate calculations and enter your answer in dollars, not millions of dollars,

rounded to $2$ decimal places, e$.$g$.,1,234,567\mathrm{.}89.$ If your answer is negative, don't

forget to put the minus sign.$)$

The maximum pre$-$tax lease payment at which Jeff & Bezos would be willing to sign the

lease agreement with Nets & Flicks equals

$($Do not round intermediate

calculations and enter your answer in dollars, not millions of dollars, rounded to $2$

decimal places, e$.$g$.,1,234,567\mathrm{.}89.$ Your answer should be entered as a positive

value.$)$