Please answer the following question:

California Enterprises Inc. reports the following in its 2016 annual report: ($ thousands) Operating Fiscal vear 2017 2018 2019 Net minimum lease payments Leases $922.8 840.6 431.3 $2,194.7 Required a. Calculate the present value of operating lease payments using a discount rate of 5% b. California Enterprises' balance sheet reports total assets of $24,109.2 thousand and total liabilities of $6,580.8 thousand. Calculate the company's total liabilities to equity ratio with and without the operating leases being capitalized c. Assume that the leased equipment has a useful life of 4 years and no salvage value. Estimate the effect on net operating profit before tax of capitalizing these operating leases. Assume rent expense in 2016 equals 2017 rent expense. Your answer must state the effect, explain its reason and calculate its amount. Estimate the effect on interest expense of capitalizing these operating leases. Your answer must state the effect, explain its reason and calculate its amount d