Fred Farmer is considering an investment in frog farming. Market research indicates that frog meat is in demand in chic city restaurants, and frog hides and skins make excellent, vogue leather products. Farmers trading entity is a proprietary company. Preliminary financial data indicates that the expected before tax cash flows from this investment is $68,000. Fred Farmer plans to either purchase the frog farm plant or alternately lease it. Farmer believes that the project has a life of four years. Purchase Details: The purchase price of plant, ponds, water reticulation equipment and stock will be $310,000. This equipment will have a residual value after 4 years expected to be $30,000. The equipment is depreciated at 25% prime cost for tax purposes. Additionally, there is an annual service contract fee of $9,000 per annum payable at the start of the year. Lease Details: The lease contract requires annual payments in advance of $100,000. The lease period is four years. There is no residual on the lease. The company tax rate is 30% payable in the year of income. Fred Farmers after-tax cost of capital is 13%. Required: What is the difference in the NPV calculations favouring either the lease or purchase option?