If a firm can buy a machine for $80,000, takes an investment tax credit of 15%, 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, zero salvage and a tax rate of 35%. assume further that it can borrow at a before-tax rate of 7%.

a $10,300
b $8,300
c $9,300
d $9,600
e $8,900

Suppose the following items were taken from the 2017 financial statements of whispering winds corp.. (all dollars are in millions.) common stock $3,230 accumulated depreciation—equipment $3,940 prepaid rent 175 accounts payable 1,560 equipment 6,940 patents 2,270 stock investments (long-term) 670 notes payable (long-term) 780 debt investments (short-term) 1,740 retained earnings 6,175 income taxes payable 150 accounts receivable 1,740 cash 1,290 inventory 1,010 prepare a classified balance sheet in good form as of december 31, 2017. (list current assets in order of liquidity.)