Deep Mining, Inc., is contemplating the acquisition of some new equipment for controlling coal dust that costs $174,000. The firm uses depreciation which allows for 33.33 percent, 44.44 percent, 14.82 percent, and 7.41 percent depreciation over years 1 to 4, respectively. After that time, the equipment will be worthless. The equipment can be leased for $53,100 a year for 4 years. The firm can borrow money at 11.5 percent and has a 36 percent tax rate. What is value of the lease? Should the firm purchase the asset via debt-financing or sign a long-term financial lease agreement?

Based on this model, households earn income whenfirms purchasegoods and services in factor markets. suppose eileen earns $575 per week working as an analyst for a-plus accountants. she uses $10 to buy a box of aspirin at pillmart pharmacy. pillmart pharmacy pays clancy $250 per week to work the cash register. clancy uses $125 to purchase tax services from a-plus accountants. identify whether each of the following events in this scenario occurs in the factor market or the product market. event factor market product market eileen earns $575 per week working for a-plus accountants. eileen spends $10 to buy a box of aspirin. clancy spends $125 to purchase tax services from a-plus accountants. which of the elements of this scenario represent a flow from a firm to a household