Rookie Cookies wants to rent a new bakery space to operate their business at $10,000 a year for the next 5 years. The rent agreement specifies that a $4,000 security deposit needs to be paid by Rookie up-front. In year 4 of the rental agreement, a one-time machinery maintenance fee of $6,000 will need to be paid by Rookie. When the rental agreement expires, Rookie feels they cam sell the machinery they maintained during the rental agreement for $7,000. Assuming a 10% ra of return, what is the present value (or cost) of the bakery space rental decision? Present Value of a $1 Period Present Value of an Annuity of $1 2345 10% Period 0.909 1 0.826 2 0.751 3 0.683 0.621 45 O-$50,355 O- $41,297 O- $41,661 O-$18,655 10% 0.909 1.736 2.487 3.170 3.791