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Answer 12 with work thanks! Now suppose the manufactured suggested retail price (MSRP) of the Mercedes Benz E500 car described above is $95,000. The dealership
Answer 12 with work thanks!
Now suppose the manufactured suggested retail price (MSRP) of the Mercedes Benz E500 car described above is $95,000. The dealership informs your aunt that the driveaway payment to lease the car for 30 months is $7,950 made up of $1,100 first month lease payment, another $1,100 as security deposit, $750 as acquisition cost and an additional cash down payment of $5,000. The residual value of the MBE%00 at the end 30 months is $48,500. If your aunt accepts these lease terms, her lease payments at the beginning of each month will be $1,100 per month. Is your aunt better leasing this MB E500 or financing the purchase of this MB E500 with a bank loan at 4.99% APR? Show your work Step by Step Solution
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