$($c$)$ The management of a company has decided to acquire Machine $x$ which costs $$63,000$ and has an operational life of four years. The expected scrap value would be zero. Tax is payable at $30\%$ on operating cash flows one year in arrears. Tax allowable depreciation is available at $25\%$ a year on a reducing balance basis.

Suppose that the company has the opportunity either to purchase the machine or to lease it under a finance lease arrangement, at an annual rent of $$20,000$ for four years. payable at the end of each year. The company can borrow to finance the acquisition at $10\%.$ Should the company lease or buy the machine?