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 $$5,300,000.$ Because of radiation contamination, it actually will be

completely valueless in four years. You can lease it for $$1,590,000$ per year for four years. Assume that the tax rate is $25$ percent. You can borrow at $8$ percent before taxes.

Assume that the scanner will be depreciated as three$-$year property under MACRS. Use

Table $10\mathrm{.}7.$

a$.$ What is the NAL of the lease? $($A negative answer should be indicated by a minus

sign. Do not round intermediate calculations and round your answer to $2$ decimal

places, e$.$g$.,32\mathrm{.}16.)$

b$.$ Should you lease or buy?

a$.$ NAL

b$.$