Dennis Harding is considering acquiring a new automobile that he will use 100% for business. The purchase price of the automobile would Ide $48,500. If Dennis leased the car for five years, the lease payments would Ide $375 per month. Dennis w ill acquire the car on January’ 1, 2018. The inclusion dollar amounts from the IRS table for the next five years are $60, $130, $194, $232, and $268. Dennis w ants to know' the effect on his adjusted gross income of purchasing versus leasing the car for the next five years. He does not claim any available additional first-year depreciation. Write a letter to Dennis, and present your calculations. Then prepare a memo for the tax files on these matters. Dennis’s address is 150 Avenue I, Memphis, TN 38112.