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In the lease versus buy decision leasing often preferable

a. if the firm is unable to borrow funds at a low rate

b. if the firm needs a specific pieces of equipment that only has value to that firm

c. because lease obligations do not affects the riskiness of the firm

 

d. if the lease has a higher tax rate than the lessor

Financial Management, Finance

  • Category:- Financial Management
  • Reference No.:- M91559302

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