Given which assumption should a lease versus purchase analysis compare the cost of leasing to the cost of owning?
A) assuming that the asset purchased is financed with short-term debt
B) assuming that the asset purchased is financed with long-term debt
C) assuming that the asset purchased is financed with debt whose maturity matches the term of the lease
D) assuming that the asset purchased is financed with retained earnings
Correct Answer:
Verified
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