Fill This Form To Receive Instant Help
Homework answers / question archive / A firm urgently needs a large printer and will either lease a printer at an end-of-year cost of $ 5000 for a 6 year period, or they will purchase the printer at an initial cost of $60,000
A firm urgently needs a large printer and will either lease a printer at an end-of-year cost of $ 5000 for a 6 year period, or they will purchase the printer at an initial cost of $60,000. If purchased, the printer will have a zero salvage value at the end of 6-years life. No other costs are to be considered. MARR is 5%. What is the best investment decision on the basis of the internal rate of return. O a. IRR could not be calculated due to no change in cashflow sign Ob. Negative IRR is not justified and is not applied here to make a proper decision Lease O d. Buy
Already member? Sign In