You Work for a Chemical Company Which Needs a New

You work for a chemical company which needs a new distillation unit. The unit costs $100,000, must be replaced in five years, and is worthless at that time. It falls under Class 8 (CCA rate 20%) . The
firm can borrow at 10.5%. The equipment can be leased for $25,000. The tax rate is 30%.
What is the after-tax lease payment?

A) $13,800
B) $14,480
C) $16,500
D) $17,500
E) $24,286