A company is considering the possibility of acquiring new manufacturing unit for $6,000,000 cash. The scrap value is estimated to be $500,000 at the end of the 10-year life of the equipment. The firm could lease the equipment for $1,000,000 per year, payable at the start of each year. The equipment will be returned to the lessor at the expiry of the lease. If the firm can earn 15% pa on its capital, advise whether it should buy or lease.