1,500,000
cost of assets
life of the assets	4 year
Option #2 ( assets against loan )
method of depreciation	stright line method
scrape value	100,000
no of installment	4
interest rate	12%
annual maintance per year	75,000
tax rate	50%
PVAF	3.037
installment amount	loan amount / PVAFnr	493,908
Option # 2 ( assets against lease )
annual maintance per year	75,000
tax rate	50%
annual lease rental	550,000
Req-
Should firm lease the asset or finance from loan if discount rate is 10% ?