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A firm has a debt-to-equity ratio of 0.50 and debt equal to $35 million. The firm acquires new equipment with a 3-year operating lease that
A firm has a debt-to-equity ratio of 0.50 and debt equal to $35 million. The firm acquires new equipment with a 3-year operating lease that has a present value of lease payments of $12 million. The most appropriate analyst treatment of this operating lease will:
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