Lease or Buy

This topic has 1 reply, 2 voices, and was last updated 8 years ago by John Moffat.

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December 15, 2017 at 9:06 am #423440
fredymaila
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Hello sir,
.in Lease or Buy decisions, in BPP, a post-tax loan interest is used.

If I am right, I remember seeing it in here that a pre-tax rate should be used.

Could you make this clear to me?
December 15, 2017 at 4:07 pm #423620
John Moffat
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You certainly did not see that here – we use the post-tax interest rate!

Watch my free lecture working through example 3 in Chapter 9 of the free lecture notes.
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