QUESTION IMAGE
Question
buying office space is ______ in the long run in comparison to leasing.
more difficult
more expensive
less expensive
less difficult
To determine the correct answer, we analyze the long - term cost implications of buying versus leasing office space. When buying office space, although there is an initial large - sum purchase cost, over the long run, you avoid the recurring lease payments. In contrast, leasing involves regular rental payments that accumulate over time. So, from a cost - perspective in the long run, buying office space is less expensive than leasing. The options “more difficult” and “less difficult” are about the ease of the process, not the long - term financial aspect which is the main consideration here. And “more expensive” goes against the long - term financial logic of buying (as you don't have to keep paying rent).
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less expensive