Equipment leasing and equipment financing.

        Read the article cited below that summarizes equipment leasing and equipment financing. https://www.inc.com/jared-hecht/equipment-leasing-vs-equipment-financing-what-you-need-to-know.html (Links to an external site.) Using this information and an analysis of the information below, provide a recommendation to the President of the JW Company (an upscale, pre-made, dinner time food packages) on whether the equipment they need should be purchased with a loan or leased. Data for the Decision Equipment Cost = $120,000 Estimated annual Maintenance cost = $2200 Annual Cost savings from the new equipment = $4400 Purchase information: Loan rate from the bank = 9.0% Annual Maintenance Cost to be paid by the company Lease information: Five-year annual lease Payment = $25,500 Option to purchase equipment after 5 years at $40,000 Annual Maintenance Cost would be done by the lease and is covered with the lease payment