chunga and

(15 marks) (b) Chunga and Company trade in golf clubs. They sale the clubs either through cash or through a lease facility with their clients. You have recently started playing golf and want to lease a set of golf clubs from Chunga and Company. The lease contract is in the form of 24 equal monthly payments at a 10.4 percent stated annual interest rate compounded monthly. Because the clubs cost K3.500 retail, Chainama wants the present value of the lease payments to equal K3,500. Suppose that your first payment is due immediately. What will your monthly lease payments be? (10 marks Total (25 marks)