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proposed lease terms, the Sadik must pay for insurance, property taxes, and maintenance. its depreciation expenses starting at Year 3. To assist management in making
proposed lease terms, the Sadik must pay for insurance, property taxes, and maintenance. its depreciation expenses starting at Year 3. To assist management in making the proper lease-versus-buy decision, you are asked to answer the following questions: a. What is the cost of owning? Enter your answer as a positive value. Do not round intermediate calculations. Round your answer to the nearest dollar. $ b. What is the cost of leasing? Enter your answer as a positive value. Do not round intermediate calculations. Round your answer to the nearest dollar. $ c. What is the net advantage of leasing? Do not round intermediate calculations. Round your answer to the nearest dollar. $ Should Sadik take the lease? Explain. Since the cost of leasing the machinery is than the cost of owning it, the firm should the equipment. to the nearest dollar
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