Find the interest paid on a 3-year lease for a $26,355 car if the car's residual value is $19,427 and the lease has an annual interest rate of 3.1%.

Round your answer to the nearest dollar.

3Hint:

To solve this problem, remember that the total interest paid in the leasing is given by the amount returned the amount borrowed. The amount returned is usually the residual value + (monthly lease payment)(number of payments). The amount borrowed is the value of the car. Remember that the monthly payments in a leasing computed by the interest on residual plus the the payment on the loss of value.

Find the interest paid on a 3-year lease for a $28,612 car if the car depreciates at an annual rate of 15% and the lease has an annual interest rate of 4.5%.

Round your answer to the nearest dollar.

4Hint:

To solve this problem, remember that the total interest paid in the leasing is given by the amount returned minus the amount borrowed. The amount returned is usually the residual value plus (monthly lease payment)(number of payments). The amount borrowed is the value of the car. Remember that the monthly payments in a leasing computed by the interest on residual plus the the payment on the loss of value.