SEGRETTEN Your firm is considering leasing a new super computer. According to the lease agreement, there will be 6 lease payments of $2,300 per year with the first payment occurring immediately. The super computer would cost $15,000 to buy and would be straight-line depreciated to a zero salvage value over the lease term. The actual salvage value is negligible because of technological obsolescence. The corporate tax rate is 35%6. LEASE AGREEMENT GITTE The firm can borrow at a rate of 5% per year. The incremental cash flow for Year O from leasing relative to purchasing the new super computer includes... (In the table below, select 1 for "Yes" or 2 for "No" for each item. "Yes" means it is directly included in Year O incremental cash flow, and "no" means it is not.) Purchase price (cash inflow) v Select "1" for "Yes", or "2" for "No". Purchase price (cash outflow) Select "1" for "Yes", or "2" for "No". Depreciation (cash inflow) v Select "1" for "Yes", or "2" for "No". Depreciation (cash outflow) v Select "1" for "Yes", or "2" for "No". Depreciation tax shield (cash inflow) v Select "1" for "Yes", or "2" for "No". Depreciation tax shield (cash outflow) v Select "1" for "Yes", or "2" for "No". After-tax lease payment (cash inflow) Select "1" for "Yes", or "2" for "No". After-tax lease payment (cash outflow) Select "1" for "Yes", or "2" for "No". ...and its dollar amount is 1 12 3 14 $13,505 $15,000 $21,760 $24,000 $26,550 $30,000 $37,392 $42.000 15 16 17 18 This Year O incremental cash flow is positive (i.e., > 0) negative (i.e.,