You have to buy a new copier. The cost of the copier is $1950, plus $405 per

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You have to buy a new copier. The cost of the copier is $1950, plus $405 per year in maintenance costs. The copier will last for five years. Alternatively, a local company offers to lease the copier to you and do the maintenance as well. If your discount rate is 6.1%, what is the most you would be willing to pay per year to lease the copier (your first lease payment is due in one year)?

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Fundamentals Of Corporate Finance

ISBN: 9781292437156

5th Global Edition

Authors: Jonathan Berk, Peter DeMarzo, Jarrad Harford

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