5 solve please

Spreadsheer Problem 479 15-5 Precision Graphics Ltd. (PGL) is looking at modernizing its facilities. As part of that process, Lose versus Buy PGL has decided to acquire new high-speed colour laser photocopiers. It has the option of buying the machines for $75,000 or leasing them for 5 years. PGL would be able to finance 100% of the purchase with a 5 year 7% loan. If purchased, PGL would also purchase a 5-year maintenance contract for $850 per year, payable at year-end. Annual lease payments, including maintenance, would cost $18,300. There is not expected to be any residual value at the end of the lease. PGL's tax rate is 28%, and the equipment falls into Class 8 with a 20% CCA rate. a. Should PGL buy or lease the copiers? b. If the copiers had a residual value of $10,000, what difference would that make to the leasing decision? c If the government changed the CCA rate for the machines to 50%, what would be the new NAL? d. Should PGL lease if it can borrow at 5%? Challenging Problem 6-7 15-6 Alumco Industries must install $1 million of new computer equipment in its Ontario plant. It Lease versos Buy can obtain a bank loan for 100% of the required amount. Alternatively, Alumco believes that it can arrange for a lease financing plan. Assume that these facts apply: (1) The computer equipment falls into asset Class 45 with a declining balance CCA rate of 45%. (2) Estimated maintenance expenses are $50,000 per year. (3) The firm's tax rate is 34%. (4) If the money is borrowed, the bank loan will be at a rate of 14% (5) The tentative lease terms call for payments of S320,000 at the beginning of each year for 3 years. (6) Under the proposed lease terms, the lessee must pay for insurance, property taxes, and