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pls answer Your client, Keith Concord Leasing Company, is preparing a contract to lease a machine to Souvenirs Corporation for a period of 27 years.Concord
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Your client, Keith Concord Leasing Company, is preparing a contract to lease a machine to Souvenirs Corporation for a period of 27 years.Concord has an investment cost of $ 427.700 in the machine, which has a useful life of 27 years and no salvage value at the end of that time. Your client is interested in earning an 10% return on its investment and has agreed to accept 27 equal rental payments at the end of each of the next 27 years. Click here to view factor tables You are requested to provide Concord with the amount of each of the 27 rental payments that will yield an 10% return on investment (Round factor values to 5 decimal places, e.g. 1.25124 and final answer to 0 decimal places, e.g. 458,581.) Amount of each rental payments $ TABLE 6.1 Future Value of 1 (Future Value of a Single Sum) FVF -(1 +" in) Periods 2% 26% 3% 4% 1 1.02000 1.02500 1.03000 1.04000 2 1.04040 1.05063 1.06090 1.08160 3 1.06121 1.07689 1.09273 1.12486 4 1.08243 1.10381 1.12551 1.16986 5 1.10408 1.13141 1.15927 1.21665 5% 1.05000 1.10250 1.15783 1.21551 1.27628 6% 1.08000 1.12360 1.19102 1.26248 1.33823 ON 6 7 8 9 10 1.12616 1.14869 1.17166 1.19509 1.21899 1.15969 1.18869 1.21840 1.24886 1.28008 1.19405 1.22987 1.26677 1.30477 1.34392 1.26532 1.31593 1.36857 1.42331 1.48024 1.34010 1.40710 1.47746 1.55133 1.62889 1.41852 1.50363 1.59385 1.68948 1.79085 11 12 13 14 15 1.24337 1.26824 1.29361 1.31948 1.34587 1.31209 1.34489 1.37851 1.41297 1.44830 1.38423 1.42576 1.46853 1.51259 1.55797 1.53945 1.60103 1.68507 1.73168 1.80094 1.71034 1.79586 1.88565 1.97993 2.07893 1.89830 2.01220 2.13293 2.26090 2.39656 16 17 18 19 20 1.37279 1.40024 1.42825 1.45681 1.48595 1.48451 1.52162 1.55966 1.59865 1.63862 1.60471 1.65285 1,70243 1.75351 1.80611 1.87298 1.94790 2.02582 2.10685 2.19112 2.18287 2.29202 2.40662 2.52695 2.65330 2.54035 2.69277 2.85434 3.02560 3.20714 21 22 23 24 25 1.51567 1.54598 1.57690 1.60844 1.64061 1.67958 1.72157 1.76461 1.80873 1.85394 1.86029 1.91610 1.97359 2.03279 2.09378 2.27877 2 36992 2.46472 2.56330 2.66584 2.78596 2.92526 3.07152 3.22510 3.38635 3.39956 3.60354 3.81975 4.04893 4.29187 26 27 28 29 30 1.67342 1.70689 1.74102 1.77584 1.81136 1.90029 1.94780 1.99650 2.04641 2.09757 2.15659 2.22129 2.28793 2.35657 2.42726 2.77247 2.88337 299870 3.11865 3.24340 3.55567 3.73346 3.92013 4.11614 4.32194 4.54938 4.82235 5.11169 5.41839 5.74349 31 32 33 34 35 1.84759 1.88454 1.92223 1.96068 1.99989 2.15001 220376 2.25885 2.31532 2.37321 2.50008 2.57508 2.65234 2.73191 2.81386 3.37313 3.50806 3.64838 3.79432 3.94809 4.53804 4.75494 5.00319 5.25335 5.51602 6.08810 6.45339 6.84059 7.25103 7.68609 36 37 38 39 40 2.03989 2.08069 2.12230 2.16474 2.20804 2.43254 2.49335 2.55568 2.61957 2.68506 2.89828 2.98523 3.07478 3.16703 3.26204 4.10393 4 26809 4.43881 4.61637 4.80102 5.79182 6.08141 6.38548 6.70475 7.03999 8.14725 8.63609 9.15425 9.70351 10.28572 TABLE 6.1 Future Value of 1 in) Periods 8% 1.08000 1.16640 1.25971 1.36049 1.46933 996 1.09000 1.18810 1.29503 1.41158 1.53862 1096 1.10000 1.21000 1.33100 1.46410 1.61051 11% 1.11000 1.23210 1.36763 1.51807 1.68506 12% 1.12000 1.25440 1.40493 1.57352 1.76234 15% 1.15000 1.32250 1.52088 1.74901 2.01136 1 2 3 4 5 1.58687 1.71382 1.85093 1.99900 2.15892 1.67710 1.82804 1.99256 2.17189 2.36736 1.77156 1.94872 2.14359 2.35795 2.59374 1.87041 2.07616 2.30454 2.55803 2.83942 1.97382 221068 2.47596 2.77308 3.10585 2.31306 2.66002 3.05902 3.51788 4.04556 6 7 8 9 10 2.33164 2.51817 2.71962 2.93719 3.17217 2.58043 2.81267 3.06581 3.34173 3.64248 2.85312 3.13843 3.45227 3.79750 4.17725 3.15176 3.49845 3.88328 4.31044 4.78459 3.4785 3.89598 4.36349 4.88711 5.47357 4.65239 5.35025 6.15279 7.07571 8.13706 11 12 13 14 15 3.42594 3.70002 3.99602 4.31570 4.66096 3.97031 4.32763 4.71712 5.14166 5.60441 4.59497 5.05447 5.55992 6.11591 6.72750 5.31089 5.89509 6.54355 7.26334 8.06231 6.13039 6.86604 7.68997 8.61276 9.64629 9.35762 10.76126 12.37545 14.23177 16.36654 16 17 18 19 20 5.03383 5.43654 5.87146 6.34118 6.84847 6.10881 6.65860 7.25787 7.91108 8.6230B 7.40025 8.14028 8.95430 9.84973 10.83471 8.94917 9.93357 11.02627 12.23916 13.58546 10.80385 12.10031 13.55235 15.17863 17.00000 18.82152 21.64475 24.89146 28.62518 32.91895 21 22 23 24 25 7.39635 7.98806 8.62711 9.31727 10.06266 9.39916 10.24508 11.16714 12.17218 13.26768 11.91818 13.10999 1442099 15.86309 17.44940 15.07986 16.73865 18.57990 20.62369 22.89230 19.04007 21.32488 23.88387 26.74993 29.95992 37.85680 43.53532 50.06561 57.57545 66.21177 26 27 28 29 30 10.86767 11.73708 12.67605 13.69013 14.78534 14.46177 15.76333 17.18203 18.72841 20.41397 19.19434 21.11378 23.22515 25.54767 28.10244 25.41045 28.20560 31.30821 34.75212 38.57485 33.55511 37.58173 42.09153 47.14252 52.79982 76.14354 87.56507 100.69983 115.80480 133.17552 31 32 33 34 35 15.96817 17.24583 18.62528 20.11530 21.72452 22 25123 24.25384 28.43658 28.81598 31.40942 30.91258 34.00395 37.40434 41.14479 45.25926 42.81808 47.52807 52.75616 58.55934 65.00087 59.13557 66.23184 74.17966 83.08122 53.05097 153.15185 176.12463 202.54332 232.92482 267-86355 36 37 38 39 40 2%% TABLE 6.2 Present Value of 1 (Present Value of a Single Sum) 1 PVF = = (1 + 7)" (1 + 1)" (n) Periods 2% 3% 4% 1 .98039 .97561 .97087 .96154 2 .96117 .95181 .94260 .92456 3 .94232 .92860 .91514 .88900 4 .92385 .90595 .88849 .85480 5 90573 .88385 .86261 .82193 5% 95238 90703 .86384 .82270 .78353 696 .94340 .89000 .83962 .79209 .74726 . 6 7 8 9 10 .88797 .87056 .85349 .83676 .82035 .86230 .84127 .82075 .80073 78120 .83748 .81309 .78941 .76642 74409 .79031 .75992 .73069 .70259 .67556 .74622 .71068 .67684 .64461 .61391 .70496 .66506 .62741 .59190 .55839 11 12 13 14 15 .80426 .78849 .77303 .75788 .74301 .76214 .74356 .72542 .70773 .69047 .72242 .70138 .68095 .66112 .64186 .64958 .62460 .60057 .57748 55526 .58468 .55684 53032 50507 .48102 .52679 .49697 .46884 44230 41727 16 17 18 19 20 .72845 .71416 .70016 .68643 .67297 .67362 .65720 .64117 .62553 .61027 .62317 .60502 -58739 57029 55368 -53391 .51337 .49363 47464 45639 ,45811 43630 41552 39573 37689 39365 37136 .35034 33051 31180 21 22 23 24 25 .65978 .64684 .63416 .62172 .60953 .59539 .58086 .56670 .55288 .53939 53755 -52189 -50669 .49193 47761 43883 42196 40573 39012 37512 35894 34185 32557 31007 29530 29416 27751 .26180 24698 23300 26 27 28 29 30 59758 .58586 .57437 56311 55207 52623 .51340 50088 48866 .47674 .46369 .45019 .43708 42435 41199 36069 .34682 33348 32065 .30832 28124 26785 25509 24295 23138 21981 20737 -19563 18456 17411 31 32 33 34 35 .54125 .53063 52023 51003 50003 .46511 45377 44270 43191 .42137 39999 38834 37703 36604 35538 20646 28506 27409 26355 25342 22036 20987 19987 19035 .18129 .16425 .15496 .14619 .13791 .13011 36 37 38 39 40 49022 48061 47119 46195 .45289 .41109 40107 39128 38174 37243 34503 33498 32523 31575 30656 24367 23430 22529 21662 20829 .17266 .16444 -15661 .14915 14205 .12274 11579 10924 .10306 09722 TABLE 6.2 Present Value of 1 (n) Periods 8% .92593 .85734 .79383 .73503 .68058 9% 91743 .84168 .77218 .70843 .64993 10% 90909 .82645 .75132 .68301 .62092 11% .90090 .81162 .73119 .65873 .59345 12% 89286 .79719 .71178 .63552 .56743 15% .86957 .75614 .65752 .57175 .49718 1 2 3 4 5 63017 .58349 .54027 .50025 .46319 .59627 .54703 .50187 .46043 .42241 56447 .51316 .46651 .42410 -38554 .53464 .48166 43393 .39092 35218 50663 45235 .40388 36061 32197 43233 37594 .32690 28426 24719 6 7 8 9 10 .42888 .39711 36770 34046 -31524 .38753 .35554 32618 29925 27454 35049 31863 28966 26333 23939 31728 28584 25751 23199 20900 28748 25668 .22917 20462 .18270 21494 .18691 16253 .14133 .12289 11 12 13 14 15 29189 27027 25025 23171 21455 25187 23107 21199 .19449 .17843 21763 19785 17986 .16351 .14864 .18829 .16963 .15282 .13768 .12403 .16312 .14564 .13004 .11611 10367 .10687 .09293 08081 .07027 .06110 16 17 18 19 20 19866 .18394 .17032 .15770 14602 .16370 .15018 .13778 .12641 .11597 .13513 .12285 .11168 .10153 09230 .11174 .10067 .09069 .08170 07361 .09256 .08264 .07379 .06588 05882 .05313 .04620 .04017 .03493 .03038 21 22 23 24 25 .13520 12519 .11591 .10733 09938 .10639 09761 08955 08216 07537 .08391 .07628 .06934 .06304 .05731 .06631 05974 05382 04849 .04368 .05252 .04689 .04187 03738 .03338 .02642 .02297 .01997 .01737 .01510 26 27 28 29 30 09202 08520 .07889 .07305 06763 .06915 06344 05820 05340 .04899 05210 04736 04306 03914 03568 .03935 03545 03194 02878 02592 .02980 .02661 02376 02121 .01894 .01313 01142 00993 .00864 00751 31 32 33 34 35 06262 05799 05369 04971 04603 04494 .04123 .00 83 .03470 03184 03235 02941 02674 02430 02210 02335 02104 01896 01708 01538 01691 01510 .01348 01204 .01075 00653 .00568 00494 00429 00373 36 37 38 39 40 Step by Step Solution
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