Profitability analysis: loan or operating leasing? The XY2 company is considering investing in a new production line The cost of purchasing the line with assembly is: PLN 450,000. It is known that the line can operate for 9 years, but the amortization period is 6 years. In order to finance the investment, the company may use a bank loan, thus financing the entire investment. The cost of the bank loan is 15% An alternative to credit is operating lease, under the following conditions: the leasing period is 6 years, - the line can be repurchased for 6 years and then use for another 3 years, the annual leasing payment is PLN 110,000 and is payable at the end of individual periods. - the initial fee is 10% The income tax rate is 19%. Please determbe which form of financing is more financially attractive for this company