For each independent scenario listed (ae), indicate whether AMC would classify the lease as an operating lease or finance lease. Assume the lease agreement has not met any of the other indicators of a finance lease. AMC Lease agreement: 1. The agreement calls for ownership of the warehouses to be transferred to AMC Foods at the end of the lease form 2. The fair value of the warehouses is expected to be $400,000 at the end of the lease term AMC has the option to purchase the warehouses at the end of the lease form for $80.000 3. The warehouses have a useful of 10 years and the form of the lease is 4 years 4. The present value of the lease payments is $4.400.000 and the fair value of the leased warehouses is $5,000,000 5.The warehouses were manufactured to meet specifications provided by AMC to optime is unique food delivery processes.

Aeuropean aircraft producer has spent 15 years in developing a new aircraft that would potential threaten long-lasting boeing's dominance (monopoly) in the same class of aircrafts. the new european aircraft gets high marks on all performance measures except noise. because of the noise, the european producers management is concerned that the us government may impose restrictions which would forbid their aircraft to land in some of the american airports. without restrictions the estimated (present discounted) profit would be 125 million usd. with the restrictions the profit would only be 25 million usd. the chances of both outcomes are estimated to be 50-50. management must decide now whether to the cost of redesign program problem and a 60% chance it will fail. should the european aircraft producer start the noise redesign program if they do not have any redesign parts of the aircraft to solve the noise problem. is 25 million usd. there is a 40% chance that redesign will solve the noise additional information than mentioned above? draw the decision tree, indicate probabilities and outcomes of the events * imagine that the company could find out in advance the outcome of the u.s. government's e find the expected value of perfect information about the u.s. government's decision. decision. draw a new decision tree, indicate probabilities and outcomes of the events.