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An industrial imaging system can be purchased for $95,000. At the end of five years, this...

An industrial imaging system can be purchased for $95,000. At the end of five years, this unit will have a salvage value of $40,000. Alternative, you can lease the machine for five years, with annual payments of $18,000 paid at the beginning of each of the five years. Assuming an APR of 12%, determine whether it is cheaper to buy or to lease the machine.

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jeff jeffy answered 1 year ago
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