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    Sycamore Company: Lease Payment

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    Scyamore Company is negotiating with a customer for the lease of a large machine, manufactured by Scyamore. The machine has a cash price of $800,000. Syamore wants to be reimbursed for financing the machine at a 12% annual return. Calculate the required lease payment if the lease calls for 10 annual payments with the first payment due today.

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    Solution Preview

    Present Worth of machine=PV=$800,000
    Discount rate=i=12%
    Number of ...

    Solution Summary

    Solution describes the steps to calculate the annual lease amount in the given case.