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The Gray Corp. can lease an asset for 4 years with payments of $ 2 0 , 0 0 0 due at the beginning of

The Gray Corp. can lease an asset for $4$ years with payments of $ $20, 000$ due at the beginning of the year. The firm can borrow at a $6 %$ rate and pays a $25 %$ federal $-$ plus $-$ state tax rate. The lease qualifies as a tax $-$ oriented lease. What is the cost of leasing?

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The Gray Corp. can lease an asset for 4 years with payments of $ 2 0 , 0 0 0 due at the beginning of

The Gray Corp. can lease an asset for 4 years with payments of $20,000 due at the beginning of the year. The firm can borrow at a 6% rate and pays a 25% federal-plus-state tax rate. The lease qualifies as a tax-oriented lease. What is the cost of leasing?

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The Gray Corp. can lease an asset for $4$ years with payments of $ $20, 000$ due at the beginning of the year. The firm can borrow at a $6 %$ rate and pays a $25 %$ federal $-$ plus $-$ state tax rate. The lease qualifies as a tax $-$ oriented lease. What is the cost of leasing?