Assume that Kaibab Logging Company's tax rate is 40%. A logging machine it needs costs $200 to buy. This logging equipment lasts for two years and is depreciated at $100 per year. For simplicity, assume away other factors such as maintenance costs, salvage value, etc. Kaibab Logging faces the following options: For Blank . If the Kaibab Logging leases this asset for 2 years, the payment is $120 at the beginning of each year. If the Kaibab Logging borrows a loan and buys the asset, the bank charges 10% interest on the loan. Kaibab Logging Company can also use its internal funds to buy the equipment. Remarks: if your answer is "(B) $100", then please type in "B". Do not type in $100, or 100, or (B), or (B) $100,... Just type in the letter, otherwise BbLearn will not recognize your answer. 1. What's Kaibab Logging Company's cost of leasing? (find the dollar amount) Answer: (A)-$139.92 (B)-$132.00 (C)-$128.78 (D) None of the rest is correct 2. What's Kaibab Logging Company's cost of owning? (find the dollar amount) Answer: (A)-S132.00 (B)-S145.76 (C)-S126.66 (D) None of the rest is correct 3. What's Kaibab Logging Company's NAL? Answer: (A)-$15.54 (B)-$26.23 (C) $9.07 (D)-$13.26 (E) None of the rest is correct