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Crank Incorporated is trying to decide whether to lease or purchase a plece of equipment needed for the next 10 years. The equipment would $4,000

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Crank Incorporated is trying to decide whether to lease or purchase a plece of equipment needed for the next 10 years. The equipment would $4,000 to purchase, and maintenance costs would be $5,900 per year. After 10 years. Frank estimates it could sell the equipment for $21,00 rank leased the equipment, it would pay a set annual fee that would include all maintenance costs. Frank has determined after a net present halysis that at its cost of capital of 9%, it would be better off by $27,700 if it buys the equipment. What would the approximate annual cost br ere to lease the equipment? (Future Value of $1. Present Value of $1. Future Value Annuity of $1. Present Value Annuity of $1 ) Use the appropriate factors from the PV tables. Murtiple Cholce $1,000 $13,000 $17,250 $16,000

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