Bavarian Brew Lease Bavarian Brew Wants to Lease a New Bottling Machine. the Bottling

Bavarian Brew Lease
Bavarian Brew wants to lease a new bottling machine. The company obtains a 10 year lease requiring annual payments of $15,000 at the beginning of the year. The firm is expected to exercise its option to purchase the machine at the termination of the lease for $10,000 at the end of year 10. The company is in the 35% tax bracket.
-If Bavarian Brew capitalizes the lease,what would be the value of the corresponding asset on the company's balance sheet?

A) $80,461
B) $76,960
C) $72,580
D) $83,890