If a firm can buy a machine for $100000, takes an investment tax credit of 20%, and lease out the machine for 9 years wi

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If a firm can buy a machine for $100000, takes an investment tax
credit of 20%, and lease out the machine for 9 years with lease
payments at the beginning of the year, how much should the minimum
annual lease payments be? Assume a 5-year straight-line
depreciation, $33000 salvage and a tax rate of 40%. What would the
minimum annual lease payments be if the machine can be salvaged for
$33000 at the end of the lease and the after-tax required rate of
return is 5.4%?
$8,000
$8,600
$6,700
$7,200
$7,600