what is raymond s reservation price what is liberty s reservation price what is the 636229

Raymond Rayon Corporation wants to expand its manufacturing facilities. Liberty Leasing Corporation has offered Raymond Rayon the opportunity to lease a machine for $100,000 for five years. The machine will be fully depreciated by the straight line method. The corporate tax rate for Raymond Rayon is 25percent, while Liberty Leasing”s corporate tax rate is 35 percent. The appropriate before tax interest rate is 8 percent. Assume lease payments occur at year end. What is Raymond”s reservation price? What is Liberty”s reservation price? What is the negotiating range of the lease?