whats the answer for both questions please ? A company is deciding...
50.1K
Verified Solution
Link Copied!
Question
Finance
whats the answer for both questions please ? 
A company is deciding whether to lease or buy new equipment. The equipment can be purchased for $100,000 or leased for a 7-year period for $12,000 per year (due at the beginning of each year). The firm can borrow at 12%. The equipment has a CCA rate of 28%. Salvage value in 7 years is expected to be $3,500. The company's marginal tax rate is 45%. Calculate PV CCATS. Round the PV CCATS to 2 decimals (e.g 22.05), and the unit is $. Your Answer: Answer units Question 12 (1 point) A company is deciding whether to lease or buy new equipment. The equipme t can be purchased for $65,000. If purchased, maintenance costs are expected to be $9,250 at the end of year 8 . Cost of debt is 13%, Tax is 41%, and CCA rate is 22%. Calculate the PV of Maintenance. Round the PV of Maintenance to 2 decimals (e.g 22.05), and the unit is $. Your Answer: Answer units
whats the answer for both questions please ?
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
- Unlimited Question Access with detailed Answers
- Zin AI - 3 Million Words
- 10 Dall-E 3 Images
- 20 Plot Generations
- Conversation with Dialogue Memory
- No Ads, Ever!
- Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Other questions asked by students
StudyZin's Question Purchase
1 Answer
$0.99
(Save $1 )
One time Pay
- No Ads
- Answer to 1 Question
- Get free Zin AI - 50 Thousand Words per Month
Best
Unlimited
$4.99*
(Save $5 )
Billed Monthly
- No Ads
- Answers to Unlimited Questions
- Get free Zin AI - 3 Million Words per Month
*First month only
Free
$0
- Get this answer for free!
- Sign up now to unlock the answer instantly
You can see the logs in the Dashboard.