FINC, Inc. has just finished a capital budgeting analysis of a new piece of equipment, and it has a very attractive NPV. They are now considering whether to buy or lease the machine. The equipment costs $1,650,000, has a life of three years, and will have no salvage value after that life. If the company purchases the machine, it will be depreciated by the straight line method over three years. They have contacted a rental agency, and they offer annual lease payments of $600,000 for three years (payable at the end of the year). FINC's (before-tax) cost of borrowing is 6%, and the marginal tax rate is 15%. What is the Net Advantage to Leasing (NAL) under these terms? Should FINC lease the equipment? Multiple Choice $39.494: Yes -$66.240: Yes