Unilog is considering leasing a computer from UniNet under a 6-year lease.The computer costs $200,000 and will be depreciated as a 5-year MACRS asset.The expected salvage value of the computer after 6 years is $20,000.UniNet's marginal tax rate is 35 percent and its average tax rate is 30%.UniNet requires a 13 percent after-tax rate of return on leases of this type.What annual, pretax, beginning-of-the-year lease payment must Unilog make to UniNet? (Problem requires MACRS depreciation tables.)
A)$48,786
B)$31,711
C)$50,500
D)$16,848

Question

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The Answer of Unilog is considering leasing a computer from UniNet under a 6-year lease.The computer costs $200,000 and will be depreciated as a 5-year MACRS asset.The expected salvage value of the computer after 6 years is $20,000.UniNet's marginal tax rate is 35 percent and its average tax rate is 30%.UniNet requires a 13 percent after-tax rate of return on leases of this type.What annual, pretax, beginning-of-the-year lease payment must Unilog make to UniNet? (Problem requires MACRS depreciation tables.)
A)$48,786
B)$31,711
C)$50,500
D)$16,848

Unilog Is Considering Leasing a Computer from UniNet Under a 6-Year