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A lease versus purchase analysis should compare the cost of leasing to the cost of owning, assuming that the asset purchased a. is financed with
A lease versus purchase analysis should compare the cost of leasing to the cost of owning, assuming that the asset purchased
a. | is financed with long-term debt. | |
b. | is financed with debt whose maturity matches the term of the lease. | |
c. | is financed with a mix of debt and equity based on the firm's target capital structure, i.e., at the WACC. | |
d. | is financed with retained earnings. | |
e. | is financed with short-term debt. |
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