Sloan Corporation is considering new equipment. The equipment
can be purchased from an overseas supplier for $3,180. The freight
and installation costs for the equipment are $640. If purchased,
annual repairs and maintenance are estimated to be $430 per year
over the four-year useful life of the equipment. Alternatively,
Sloan can lease the equipment from a domestic supplier for $1,420
per year for four years, with no additional costs.
Prepare a differential analysis dated December 3, to determine
whether Sloan...