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The Herbertson Company leases machines to clients. Annual rentals are paid each year, with the first payment due on the day the lease begins. A
The Herbertson Company leases machines to clients. Annual rentals are paid each year, with the first payment due on the day the lease begins. A machine with a book value of $12,000 is leased. Unguaranteed salvage value is $1,500. Lease term is six years. Herbertson's interest rate is 5%. What is the approximate annual lease payment? Select one: a. $2,041.60 O b. $2,251.63 O c. $2,364.21 O d. $2,143.68 O e. $2,059.74
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