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calculate IRR for each of the below scenarios and suggest a best option out of these? ESTIMATED EQUIPMENT COST INITIAL TERM MONTHLY EQUIVALENT LEASE RATE
calculate IRR for each of the below scenarios and suggest a best option out of these?
ESTIMATED EQUIPMENT COST INITIAL TERM MONTHLY EQUIVALENT LEASE RATE FACTOR MONTHLY RENTAL PAYMENT (PER $1MM FUNDED) END OF TERM OPTIONS ESTIMATED EQUIPMENT COST INITIAL TERM MONTHLY EQUIVALENT LEASE RATE FACTOR MONTHLY RENTAL PAYMENT (PER $1MM FUNDED) END OF TERM OPTIONS : : Up to $2,000,000 36 Months 42 Months .027928 .024378 $27,928 $24,378 1) Purchase all of the Equipment for its then Fair Market Value Equal to 10% of the Original Equipment Cost; or, 2) Continue Leasing Up to $2,000,000 48 Months .023543 $23,543 Purchase all of the Equipment for $1.00 ESTIMATED EQUIPMENT COST INITIAL TERM MONTHLY EQUIVALENT LEASE RATE FACTOR MONTHLY RENTAL PAYMENT (PER $1MM FUNDED) END OF TERM OPTIONS ESTIMATED EQUIPMENT COST INITIAL TERM MONTHLY EQUIVALENT LEASE RATE FACTOR MONTHLY RENTAL PAYMENT (PER $1MM FUNDED) END OF TERM OPTIONS : : Up to $2,000,000 36 Months 42 Months .027928 .024378 $27,928 $24,378 1) Purchase all of the Equipment for its then Fair Market Value Equal to 10% of the Original Equipment Cost; or, 2) Continue Leasing Up to $2,000,000 48 Months .023543 $23,543 Purchase all of the Equipment for $1.00Step by Step Solution
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