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You work for a nuclear research laboratory that is contemplating leasing a diagnostic scanner ( leasing is a very common practice with expensive, high -

You work for a nuclear research laboratory that is contemplating leasing a diagnostic scanner (leasing is a very common practice with expensive, high-tech equipment). The scanner costs $4,700,000 and it would be depreciated straight-line to zero over four years. Because of radiation contamination, it actually will be completely valueless in four years. You can lease it for $1,380,000 per year for four years. The tax rate is 22 percent. You can borrow at 7 percent before taxes. What is the NAL of the lease from the lessor's viewpoint?

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