Scott leases a new car by making a down payment of $2,400 and beginning-of-month payments of $280 for four years. If the lease amount of the car is $24,200 and Scott could buy the car for $14,500 at the end of the lease, what is the effective rate of interest of the car lease? Express the effective rate as a percentage to 3 decimal places.

NOTE: Make PV positive

Full solutions should be shown on separate sheets of paper. Submit your solutions. In addition, include the appropriate entries to solve this question using the TVM Solver as shown below.

P/Y
C/Y
N
I/Y
PV
PMT
FV
BGN/END	(click to select)BGNEND

Enter "CPT" for the value that needs to be computed.

Effective Rate = Effective Rate =