Nanaimo Oysters Inc. is considering its options to finance the acquisition of a new oyster processor as follows: 1. Purchase the equipment at a cost of $660,000, financed with a 5-year term loan from RJF Bank with an annual interest rate of 8%. 2. Lease the equipment from OWL Leasing Led. for 5 years with annual lease payments of $200,000 (in advance). Other information: Nanaimo's tax rate is 30% . The applicable CCA rate is 25% . The estimated salvage value at the end of 5 years is $100,000 . Annual operating costs to run the machine are estimated to be $75,000, including $25,000 per year in maintenance costs (assume end of year cash flows). If Nanaimo leases this asset, OWL will pay for the maintenance costs. Required: Determine if Nanaimo should lease or purchase the machine