Describe how the net advantage to leasing is measured.

Multiple choices are:

the net advantage to leasing is simply the NPV of leasing versus buying the asset

the net advantage to leasing is the present value of the incremental after-tax cash flows associated with the lease minus the purchase price

debt-service parity is used to correctly measure the net advantage to leasing

the net advantage to leasing adjusts for the typically higher percentage of financing that leasing naturally provides

A and B

A and C

A and D

B and C

B and D

C and D

all but A

all but B

all but C

all but D

all are true