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 $4,000,000, and it would be depreciated straight-line to zero over 4 years. Because of radiation contamination, it will actually be completely valueless in 4 years. You can lease it for $1,000,000 per year for four years. Assume that your company does not anticipate paying taxes for the next several years. You can borrow at 6 percent before taxes. What is the NAL of this lease? (Do not round your intermediate calculations.)

$561,639.11

$508,149.67

$1,000,000

$534,894.39

$361,533.79