A few month's later, Geoff calls you into his office for a discussion. I have been evaluating an upgrade in our manufacturing equipment. We need a new electrode coater machine, but we must decide whether to buy or lease it. Maxtech Co. has offered to sell the machine to us for 2.5 Million. Because of the rapid development of new technology, the equipment falls into class 45 with a CCA rate of 45%. At the end of four years, the market value of the equipment is expected to be $320,000. Alternatively, Laurie's Leasing can lease us the machine for four annual payments of $650,000 due at the beginning of the year. Additionally, Laurie's Leasing requires a $300.000 security deposit that will be returned at the end of the lease (end of year 4). Should we lease or buy this machine?" Part 3: 1. What is the NAL of leasing the electrode coater machine? (Use the information from part 1 to calculate your yearly cost of debt.) 2. Should you lease or buy the electrode coater machine? 3. Provide 2 reasons why the lease above is likely a financing/capital lease. A few month's later, Geoff calls you into his office for a discussion. I have been evaluating an upgrade in our manufacturing equipment. We need a new electrode coater machine, but we must decide whether to buy or lease it. Maxtech Co. has offered to sell the machine to us for 2.5 Million. Because of the rapid development of new technology, the equipment falls into class 45 with a CCA rate of 45%. At the end of four years, the market value of the equipment is expected to be $320,000. Alternatively, Laurie's Leasing can lease us the machine for four annual payments of $650,000 due at the beginning of the year. Additionally, Laurie's Leasing requires a $300.000 security deposit that will be returned at the end of the lease (end of year 4). Should we lease or buy this machine?" Part 3: 1. What is the NAL of leasing the electrode coater machine? (Use the information from part 1 to calculate your yearly cost of debt.) 2. Should you lease or buy the electrode coater machine? 3. Provide 2 reasons why the lease above is likely a financing/capital lease