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You wish to lease a car. The net capitalized value is $35,000. The residual value is $15,000 in 5 years. The borrowing rate is 6%, compounded monthly. Sales taxes amount to 15%. What is your monthly lease rate if you sign a 5-year lease?
please i need and answer and an explanation
You negotiate a $10,000 line of credit with your bank. They require you to pay 0.5% of the principal outstanding at the end of every month. They will also charge interest at a rate of 9% per annum, compounded monthly. You draw down $1,000 on the line on March 1st. What will be the balance of your loan on June 1st?
please i need and answer and an explanation
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