Your company needs to use an equipment for a project. If you decide to purchase it, you need to pay $60,000 today and the maintenance cost is $10,000 every year for three years (the first payment is due now). Assume you don't need to borrow to pay for the cost. The tax rate is 21% and you choose to depreciate all the initial cost to purchase the equipment today. The annual maintenance costs are also tax deductible. Or you can lease it. The lease payment is 30,000 every year for three years (the first payment is due now). Lease payments are fully tax-deductible. Assume the discount rate is 5%. Will you lease it or buy it? Show all your work to get full credit. Keep four decimals. Please don't attach the excel work, it won't explain your inputs. (a). What's the PV of all the costs of owning and operating the equipment considering the potential tax shield you can get? Please first show the total cash flow for each year and all the inputs to get these results; then show the inputs to calculate the PV of the costs. (b). What's the annual before-tax break-even lease payment equivalent to the cost of ownership and operation? Please show all the inputs such as discount rate, number of years, PV and etc. to get the results. (c). Are you going to lease or buy the equipment and why? Your company needs to use an equipment for a project. If you decide to purchase it, you need to pay $60,000 today and the maintenance cost is $10,000 every year for three years (the first payment is due now). Assume you don't need to borrow to pay for the cost. The tax rate is 21% and you choose to depreciate all the initial cost to purchase the equipment today. The annual maintenance costs are also tax deductible. Or you can lease it. The lease payment is 30,000 every year for three years (the first payment is due now). Lease payments are fully tax-deductible. Assume the discount rate is 5%. Will you lease it or buy it? Show all your work to get full credit. Keep four decimals. Please don't attach the excel work, it won't explain your inputs. (a). What's the PV of all the costs of owning and operating the equipment considering the potential tax shield you can get? Please first show the total cash flow for each year and all the inputs to get these results; then show the inputs to calculate the PV of the costs. (b). What's the annual before-tax break-even lease payment equivalent to the cost of ownership and operation? Please show all the inputs such as discount rate, number of years, PV and etc. to get the results. (c). Are you going to lease or buy the equipment and why