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Please complete calculations for the annual loan payments on interest only loan (pre-tax) and for the Present Value of Lease (Initial Lease Liability) Venture 230M
Please complete calculations for the annual loan payments on interest only loan (pre-tax) and for the Present Value of Lease (Initial Lease Liability)
Venture 230M Data: | ||||
Purchase Price | $ 1,260,000 | |||
Economic Life of Equipment | 10.0 | years | ||
Years of Planned Usage | 5.0 | years | ||
MACRS Schedule | 10 year | |||
Residual Value after Economic Life | $ 150,000 | |||
Residual Value after Planned Usage | $ 385,000 | |||
Annual Maintenance Cost in % (Payable at Beginning of Year) | 2.0% | |||
Financial Data: | Lessee | Lessor | ||
Tax Rate | 25.0% | 20.0% | ||
Pre-Tax Cost of Debt | 7.6% | Pre-Tax Alt. Inv. Return | 6.0% | |
After-Tax Cost of Debt | 5.7% | After-Tax Alt. Inv. Return | 4.8% | |
Annual Loan Payments on Interest Only Loan (Pre-tax) | ||||
Annual Lease Payment (Payable at Beginning of Year) | $ 250,000 | |||
Present Value of Lease (Initial Lease Liability) | #N/A | |||
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