Purchase versus lease. Maryland General Hospital, a taxpaying entity is considering a leasing arrangement for its ambulance fleet. The fleet ambulance costs $ 375,000. Maryland general could finance the entire fleet with equal annual debt and principal payments at a befire tax cost of debt of 9 percent . Alternatively, it could lease fleet for 10 years. The before tax lease payments are 45,000 per year for 10 years. Maryland General's tax rate is 40 percent . form a financial  perspective, should Maryland general lease or borrow the money to by the ambulance?