7. A sport utility vehicle (SUV) sells for $34,200 and leases for $348 plus tax per...
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7. A sport utility vehicle (SUV) sells for $34,200 and leases for $348 plus tax per month for a lease term of 24 months. A down payment of $3500 is required. The guaranteed residual value of the vehicle is $22 126. (4 marks) a) Calculate the value of the depreciated vehicle after two years. b) How does the depreciated value of the vehicle after two years compare to the guaranteed residual value? 7. A sport utility vehicle (SUV) sells for $34,200 and leases for $348 plus tax per month for a lease term of 24 months. A down payment of $3500 is required. The guaranteed residual value of the vehicle is $22 126. (4 marks) a) Calculate the value of the depreciated vehicle after two years. b) How does the depreciated value of the vehicle after two years compare to the guaranteed residual value?
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a Calculating the depreciated value Cost after down payment Subtract the down payment amo... View the full answer
Related Book For
Intermediate Accounting
ISBN: 978-0077400163
6th edition
Authors: J. David Spiceland, James Sepe, Mark Nelson
Posted Date:
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