The initial lease payment is $60,000. After that, the equipment price increases by 2% every year, and the trade-in credit for equipment used for one year is 30% of the equipment price and 10% for two years of use. ABC company wants to minimize the leasing costs over the next five years when replacing ones equipment under plan 2.

Define the decision variables (1 point)

Define the objective function (3 points)

Define the constraints (3 points)

Determine an optimal solution using Solver. ( 2 points)