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10. A telephone system with a disposable value of $1,200 after five years can be purchased for $6,600. Alternatively, a leasing agreement is available that

10. A telephone system with a disposable value of $1,200 after five years can be purchased for $6,600. Alternatively, a leasing agreement is available that requires an immediate payment of $1,500, plus payments of $100 at the beginning of each month for five years. If money is worth 12% compounded monthly, should the telephone system be leased or purchased?
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