Buy special equipment to prepare high-quality publications

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Reference no: EM13158351

Suppose that your company is trying to decide wheher it should buy special equipment to prepare high-quality publications itself or lease the equipment from another company. Suppose that leasing the equipment costs $240 per day. If you decide to purchase the equipment, the initial investment is 6,800, and operations will cost $70 per day. After how many days will the lease cost be the same as the purchase cost for the equipment? Assume that your company would only use this equipment for 30 days. Should your company buy the equipment or lease it?

Reference no: EM13158351

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