The Wildcat Oil Company is trying to decide whether to lease or buy a new comput assisted drilling system for its oil exploration business. Management has decided tha must use the system to stay competitive; it will provide $$3\mathrm{.}9$ million in annual pretax c savings. The system costs $$9\mathrm{.}8$ million and will be depreciated straight$-$line to zero o$\text{'}$ five years. Wildcat's tax rate is $25$ percent, and the firm can borrow at $7$ percent. Lamb Leasing Company is willing to lease the equipment to Wildcat. Lambert's policy is require its lessees to make payments at the start of the year. Suppose it is estimated tl the equipment will have an aftertax residual value of $$1,125,000$ at the end of the lea What is the maximum lease payment acceptable to Wildcat? $($Do not round intermedii calculations and enter yuor answer in dollars, not millions, rounded to $2$ decin places, e$.$g$.,1,234,567\mathrm{.}89.$

Answer is complete but not entirely correct.

$\backslash$table$[[\backslash$table$[[$Maximum lease$],[$payment$]],$$$,]]$