(Solution) - On March 1 2015 Sarah entered into a three year lease -(2025 Original AI-Free Solution)

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On March 1, 2015, Sarah entered into a three-year lease of an automobile used exclusively in her business. The automobile?s FMV was $58,500 at the inception of the lease. Sarah made ten monthly lease payments of $600 each during 2015. Is Sarah able to avoid the luxury automobile restrictions on depreciation by leasing instead of purchasing the automobile? Explain.