Assume the initial cost savings provided by a lease is $100,000 because the purchase is no longer necessary, and the present value of the cash outflow attributable to the lease is $90,000 (already considered the depreciation tax shield and lease payment). Then the net advantage of the lease is:....?

Answer rating: 100% (QA)

Based on the information provided the net advantage of the lease is 10000 Heres the breakdown Initia... View the full answer