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PETE. is trying to decide whether to lease or purchase a piece of equipment needed for the next ten years. The equipment would cost $45,000

PETE. is trying to decide whether to lease or purchase a piece of equipment needed for the next ten years. The equipment would cost $45,000 to purchase, and maintenance costs would be $5,100 per year. After ten years, Foster estimates it could sell the equipment for $20,000. If Foster leases the equipment, it would pay $15,000 each year, which would include all maintenance costs.

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