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A company is deciding whether to lease or buy a new truck. The truck can...

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Finance

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A company is deciding whether to lease or buy a new truck. The truck can be purchased for $30,000. The salvage value in 5 years is expected to be $3,500. The company's marginal tax rate is 32%, cost of debt is 13%, and its WACC is 21%. Calculate the PV of Salvage. Round the PV of Salvage to 2 decimals (e.g 22.05 ), and the unit is $. Your Answer: Answer units

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