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Business, 06.09.2019 18:30, EBeast7390
Sutton corporation, which has a zero tax rate due to tax loss carry-forwards, is considering a five-year, $6,000,000 bank loan to finance service equipment. the loan has an interest rate of 10 percent and would be amortized over five years, with five end-of-year payments. sutton can also lease the equipment for five end-of-year payments of $1,790,000 each. how much larger or smaller is the bank loan payment than the lease payment?
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