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. Which of the following is not a reason why an organization may choose to lease something versus purchase it? 1. The total present value
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Which of the following is not a reason why an organization may choose to lease something versus purchase it?
1. | The total present value of payments of the lease option is less than the purchase option | |
2. | Technology is changing rapidly and equipment is becoming obsolete before its useful life is up | |
3. | Generally lease financing is cheaper than the organization's cost of capital. | |
4. | None of the above |
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