You work for a nuclear research laboratory that is contemplating leasing a diagnostic scanner (leasing is a common practice with expensive, high-tech equipment). The scanner costs $5.2 million and would be depreciated straight-line to zero over four years. Because of radiation contamination, it will actually be completely valueless in four years. You can lease it for $1.51 million per year for four years. Assume the tax rate is 21 percent.

Suppose the entire $5.2 million purchase price of the scanner is borrowed. The rate on the loan is 8 percent and the loan will be repaid in equal installments

You work for a nuclear research laboratory that is contemplating leasing a diagnostic scanner (leasing is a common practice with expensive, high-tech equipment). The scanner costs $5.2 million and would be depreciated straight-line to zero over four years. Because of radiation contamination, it will actually be completely valueless in four years. You can lease it for $1.51 million per year for four years. Assume the tax rate is 21 percent Suppose the entire $5.2 million purchase price of the scanner is borrowed. The rate on the loan is 8 percent and the loan will be repaid in equal installments. Calculate the amount of the annual loan repayment. (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Payment Complete the schedules given below and calculate the NAL. (A negative answer should be indicated by a minus sign. Leave no cells blank - be certain to enter "0" wherever required. Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Your Complete the schedules given below and calculate the NAL. (A negative answer should be indicated by a minus sign. Leave no cells blank - be certain to enter "0" wherever required. Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Year Beginning Balance Total Payment Interest Payment Principal Payment Ending Balance 1 2 3 4 Year Aftertax Loan Payment OCF Total Cash Flow 1 2 3 4 4 Year Aftertax Loan Payment OCF Total Cash Flow 1 2 3 4 NAL