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September 9, 2022

What are the pros and cons of renting the machine?

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When construction companies are building new projects such as a housing development or a large building, large pieces of equipment are needed to complete these projects. Equipment types can include bulldozers, boom lifts, or cranes.

For this Discussion Board, suppose you own a construction company and need a certain piece of machinery to complete a building project. Assume that the cost is $100,000 to purchase this machine, which has a life span of 10 years. However, renting this machine would cost $2000 per month. Based on this information, discuss the following:

What are the pros and cons of buying the machine?

What are the pros and cons of renting the machine?

For your construction company, does it make more sense for you to purchase the machine or rent it? Why?

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