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Your firm is considering leasing a new robotic milling control system. The operating lease lasts for 5 years. The lease calls for 5 payments of
Your firm is considering leasing a new robotic milling control system. The operating lease lasts for years. The lease calls for payments of $ per year with the first payment occurring at the beginning of the lease period. The system would cost $ to buy and would be straightline depreciated to a zero salvage value. The firm has enough cash on hand to purchase the asset. The actual salvage value is zero. The firm can borrow at and the corporate tax rate is
what is the maximum lease payment that you would be willing to make
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