Emerson Coip. is ryying to decide whether to lease or purchase a piece of equipment needed for the next five years. The equipment would cost $504.000 to purchase, and maintenance costs would be $20,200 per yeat, After five years, Emerson estimates it could sell the equipment for $102,000. If Emerson leases the equipment, it would pay $150,800 each year, which would include all maintenance costs. Emerson's hurdle rate is 142, (Future Volue of 51 . Present Value of s1, Future Value Annulity of s1, Present Value. Annuity of 51.) (Use appropriote foctor from the PV tobles.) o. What is the net present value of the cost of purchasing the equipment? (Round your final answer to the nearest dolior amount) b. What is the net present value of the cost of leasing the equipment? (Round your final answer to the nearest dollor amount.) c. Based on financial factors, should Emerson purchase or lease the equipenent? Purchase Lease TABLE 11.2A Present Value of $1 \begin{tabular}{cccccccccc} Periods & 9% & 10% & 11% & 12% & 13% & 14% & 15% & 20% & 25% \\ \hline 1 & 0.9174 & 0.9091 & 0.9009 & 0.8929 & 0.8850 & 0.8772 & 0.8696 & 0.8333 & 0.8000 \\ \hline 2 & 0.8417 & 0.8264 & 0.8116 & 0.7972 & 0.7831 & 0.7695 & 0.7561 & 0.6944 & 0.6400 \\ 3 & 0.7722 & 0.7513 & 0.7312 & 0.7118 & 0.6931 & 0.6750 & 0.6575 & 0.5787 & 0.5120 \\ \hline 4 & 0.7084 & 0.6830 & 0.6587 & 0.6355 & 0.6133 & 0.5921 & 0.5718 & 0.4823 & 0.4096 \\ \hline 5 & 0.6499 & 0.6209 & 0.5935 & 0.5674 & 0.5428 & 0.5194 & 0.4972 & 0.4019 & 0.3277 \\ \hline 6 & 0.5963 & 0.5645 & 0.5346 & 0.5066 & 0.4803 & 0.4556 & 0.4323 & 0.3349 & 0.2621 \\ \hline 7 & 0.5470 & 0.5132 & 0.4817 & 0.4523 & 0.4251 & 0.3996 & 0.3759 & 0.2791 & 0.2097 \\ \hline 8 & 0.5019 & 0.4665 & 0.4339 & 0.4039 & 0.3762 & 0.3506 & 0.3269 & 0.2326 & 0.1678 \\ \hline 9 & 0.4604 & 0.4241 & 0.3909 & 0.3606 & 0.3329 & 0.3075 & 0.2843 & 0.1938 & 0.1342 \\ \hline 10 & 0.4224 & 0.3855 & 0.3522 & 0.3220 & 0.2946 & 0.2697 & 0.2472 & 0.1615 & 0.1074 \\ \hline 20 & 0.1784 & 0.1486 & 0.1240 & 0.1037 & 0.0868 & 0.0728 & 0.0611 & 0.0261 & 0.0115 \end{tabular} TABLE 11.4A Present Value of Annuity of $1