Lease or Buy [LO3] Assume that the tax rate is 21 percent. You can borrow at 8 percent before taxes. Should you lease or buy? Leasing Cash Flows [LO3] What is the NAL of the lease from the lessors view- point? Assume a 21 percent tax rate. Finding the Break-Even Payment [LO3] What would the lease payment have to be for both lessor and lessee to be indifferent about the lease? Taxes and Leasing Cash Flows [LO3] Assume that your company does not antic- ipate paying taxes for the next several years. What are the cash flows from leasing in this case? Setting the Lease Payment [LO3] In Problem 4, over what range of lease pay- ments will the lease be profitable for both parties?