An Analysis Of Leasing ? Introduction

The purpose of this paper is two fold. It will: (1) examine leasing analysis as a project evaluation criterion, and (2) compare the cost of leasing with other methods of financing. The use of leasing has grown extensively in recent years as a method of obtaining equipment. The computer industry has been highly dependent upon leasing from its earliest days to dispurse its equipment to the customer, while airlines and railroads acquire large segments of their aircraft and rolling stock by leasing. Over the last few years the mining industry has leased haulage trucks, bulldozers and other equipment of similar nature.