Nodhead College needs a new computer. It can either buy it for $250,000 or lease it from Compulease. The lease terms require Nodhead to make six annual payments (prepaid) of $62,000. Nodhead pays no tax. Compulease pays tax at 30%. Compulease can depreciate the computer for tax purposes straight-line over five years. The computer will have no residual value at the end of year 5. The interest rate is 8%.

What is the NPV of the lease for Nodhead College?

Note: A negative answer should be indicated by a minus sign. Do not round intermediate calculations. Round your answer to the nearest whole number.

What is the NPV for Compulease?

Note: Do not round intermediate calculations. Round your answer to the nearest whole number.

What is the overall gain from leasing?

Note: A negative answer should be indicated by a minus sign. Do not round intermediate calculations. Round your answer to the nearest whole number.