QUESTION 11 [Note: The information presented here applies to questions 11, 12 & 131. The law firm of Saul Goodman and Associates must choose between two different leases for their new space. The first lease, Lease A, is a 5-year gross lease with a base rent of S If rents will increase by $1.0 /sf each year andthe cash flows from the lease are discounted at 6%, what is the corresponding effective rent when evaluated from the tenant's perspective? 36.25/sf QUESTION 12 The second lease, Lease B, is a 5-year net lease with a base rent of s25/sf with expenses expected to be $10/sf in the first year. If rents will increase by $ 1.00/sf each year and expenses by 5% a year, what is the corresponding effective rent from the tenant's perspective if cash flows are discounted at 6% annually