7-7 7-72 A diesel generator for electrical power can be purchased by and used for 10 years, when its salvage value is $50,000. Alternatively, it can be leased for $42,500 a year. (Remember that lease payments occur at the start of the year.) The community's interest rate is 7%. A a remote community for $350,000 (a) What is the interest rate for buying leasing? Which is the better choice? (b) The community will spend $80,000 less each versus 7- and maintenance. than it currently LL The community will spend $80,000 less each ond maintenance. than it currently of $1200 after the machine's useful life of 8 years. On the other hand, leasing requires an annual lease payment of $3000, which occurs at the start of each year. The MARR is 15%. On the basis of an internal rate of return analysis, which alternative should the contractor be advised to accept? Initial co Uniform ise that . If the urn on atives ave a 7-7 7-72 A diesel generator for electrical power can be purchased by and used for 10 years, when its salvage value is $50,000. Alternatively, it can be leased for $42,500 a year. (Remember that lease payments occur at the start of the year.) The community's interest rate is 7%. A a remote community for $350,000 (a) What is the interest rate for buying leasing? Which is the better choice? (b) The community will spend $80,000 less each versus 7- and maintenance. than it currently LL The community will spend $80,000 less each ond maintenance. than it currently of $1200 after the machine's useful life of 8 years. On the other hand, leasing requires an annual lease payment of $3000, which occurs at the start of each year. The MARR is 15%. On the basis of an internal rate of return analysis, which alternative should the contractor be advised to accept? Initial co Uniform ise that . If the urn on atives ave a