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CAPITAL-BUDGETING5 MIN READ

Vendor Pushes Lease Math Without EAC

Challenge lease-vs-buy proposals by annualizing comparable cost over unequal lives.

Vendor Rep V Equipment seller 01 Frame 02 Normalize 03 Decide The vendor frame 30 sec Scenario The vendor emphasizes lower year-one cash, but the alternatives have different useful lives and renewal terms. Your reply should reset the comparison to equivalent annual economics. The formula 1 min EAC challenge Same service -> Present value -> Annual cost

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