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Taxes and Leasing Cash Flows

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You work for a mortgage company that is contemplating leasing a high speed document scanner. The scanner costs $3,000,000, and it would be depreciated to zero over four years. Because of the non-existent 2nd hand commercial market, it will actually be completely valueless in four years. You can lease it for $895,000 per year for 4 years. It becomes valueless at the end of the 4 years. You can lease it for $895000 per year.

What are the cash flows from the lease from the lessor's viewpoint? Assume a 35 percent tax bracket

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Response provides the steps to compute the Taxes and leasing cash flows

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What are the cash flows from the lease from the lessor's viewpoint? Assume a 35 percent tax bracket

Cash flows ...

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