Urgent

Financial Lease Your firm is considering leasing dedicated servers for cloud computing. The lease calls for six annual payments of $39,000 each with the first payment occurring immediately. The equipment would cost $190,000 to buy and would be straight-line depreciated to zero salvage value in five years. The firm can borrow at 9% and the tax rate is 35%. Calculate the PV of leasing and the PV of buying or, alternatively, the "lease PV". Questions: Show PV of leasing Show PV of buying Show Lease PV = PV of leasing - PV of buying = PV (leasing - buying) Should the company lease or buy? Why