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Assume that a company is choosing between two alternatives-lease a piece of equipment for five years or buy a plece of equipment and sell it

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Assume that a company is choosing between two alternatives-lease a piece of equipment for five years or buy a plece of equipment and sell it in five years. The costs associated with the two alternatives are summarized as follows: Cick here to view Exhibit 148-1 and Exhipit 148,2, to determine the appropriate discount foctor(s) using the tables provided. Ir the company chooses the lease option, it will have to pay an immediate deposit of $25,000 to cover any future damages to the equipment. The deposit is refundable at the end of the lease term. The annual lease poyments are made at the end of each year. Based on a not present value analysis with a discount rate of 20%, what is the financial advantage (disadvantage) of buying the equipment rather than leasing it? Muntiple Cnoice \$5,960 Assume that a company is choosing between two alternatives-lease a piece of equipment for five years or buy a plece of equipment and sell it in five years. The costs associated with the two alternatives are summarized as follows: Cick here to view Exhibit 148-1 and Exhipit 148,2, to determine the appropriate discount foctor(s) using the tables provided. Ir the company chooses the lease option, it will have to pay an immediate deposit of $25,000 to cover any future damages to the equipment. The deposit is refundable at the end of the lease term. The annual lease poyments are made at the end of each year. Based on a not present value analysis with a discount rate of 20%, what is the financial advantage (disadvantage) of buying the equipment rather than leasing it? Muntiple Cnoice \$5,960

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