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Show all steps in finding the answer with only a calculator and interest tables. Ullall it spends on operating and maintenance costs, should the firm

image text in transcribed Show all steps in finding the answer with only a calculator and interest tables.
Ullall it spends on operating and maintenance costs, should the firm obtain the bulldozer? What is the rate of return for the bulldozer using the best financing plan? 7-72 A diesel generator for electrical power can be pur A chased by a remote community for $480,000 and used for 10 years, when its salvage value is $50,000 Alternatively, it can be leased for $70,000 a year (Remember that lease payments occur at the start of Analysis Pe 7-76 If the the year.) The community's interest rate is 8%. alter (a) What is the interest rate for buying versus rep leasing? Which is the better choice? (b) The community will spend $80,000 less each year for fuel and maintenance, than it currently spends on buying power. Should it obtain the Fi generator? What is the rate of return for the generator using the best financing plan? 73 After 5 years of working for one employer, you

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