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Consider a 7-year lease for a $250,000 bottling machine, with a residual market value of $75,000 at the end of 7 years. If the risk-free
Consider a 7-year lease for a $250,000 bottling machine, with a residual market value of $75,000 at the end of 7 years. If the risk-free interest rate is 6.1% APR with monthly compounding, compute the monthly lease payment in a perfect market for the following leases: a. A fair market value lease. b. A $1.00 out lease. c. A fixed price lease with an $47,000 final price. Consider a 7-year lease for a $250,000 bottling machine, with a residual market value of $75,000 at the end of 7 years. If the risk-free interest rate is 6.1% APR with monthly compounding, compute the monthly lease payment in a perfect market for the following leases: a. A fair market value lease. b. A $1.00 out lease. c. A fixed price lease with an $47,000 final price
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