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replacement fieet, the company is considering two aiternotiven: Purchase aiternative: The company can purchase the cars, as in the past, ond sell the cais atime

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replacement fieet, the company is considering two aiternotiven: Purchase aiternative: The company can purchase the cars, as in the past, ond sell the cais atime these yo ars ar uat that aur a a incurred on the fleet as a whole: At the end of three years, the fleet could be sold for one-half of the eriginal purchase price. Lease aiternative: The company can lease the cars under a three-year lease contract. The lease cost wosld be 556 goco per year (ivie first payment due at the end of Year 1). As port of this lease cost, the owner would provide all servicing and tepara, license the cars, and pay all the taxes, Riteway would be required to make a $13,500 security deposit at the beginning of the leakse parised, which whilid be refunded when the cars were retumed to the owner at the end of the lease contract. Riteway Ad Agency's required rate of return is 15%. Click here to view Exbibit 12B.1 and Exhib. 1282, to determine the appropriate discount tactor(s) using tabies. (Uise the tabies to gat. your discount factors. The linked tables are the same tables as the ones ar your course packet. If you calculite discount factory using Excel or a fingncial cakculator, your answer may be different enough due to rounding that the system will mark if wromg I Required: 1. What is the net present value of the cash flows associated with the purchase alternative? 2. What is the net present value of the cash flows associated with the lease alternative? 3. Which alternative should the company accept? Complete this question by entering your answers in the tabs below. What is the net present value of the cash flows associated with the purchase alternative? (Enter negative amount with a ninus sign. Round your final answer to the nearest whole dollar amount.) Required: 1. What is the net present value of the cash flows associated with the purchase alternacive? 2. What is the net present value of the cash flows associated with the lease alternative? 3. Which aitemative should the company accept? Complete this question by entering your answers in the tabs below. What is the net present value of the cash flows associated with the lease alternative? (Enter negative amounk with a minus gn. Round your final answer to the nearest whole doliar amount.) Complete this question by entering your answers in the tabs below. Which alternative should the company accept

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