Solutions To Chapter 26 (Leasing)-Brealey Myers Corporate Finance

CHAPTER 26

Leasing

Answers to Practice Questions

8.    The present value of the costs and the present value of the lease payments are shown in the following table:
|                                   |t = 0         |t = 1        |t = 2        |t = 3        |t = 4        |t = 5        |t = 6         |
|Initial Cost                       |-3000.00      |             |             |             |             |             |              |
|Depreciation                       |              | 600.00      | 960.00      | 576.00      | 345.60      | 345.60 ...
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