Question
Suppose an H1200 supercomputer has a cost of $350,000 and will have a residual market value of $140,000 in6 years. The risk-free interest rate is
Suppose an H1200 supercomputer has a cost of $350,000 and will have a residual market value of $140,000 in6 years. The risk-free interest rate is 6.1% APR with monthly compounding.
a. What is the risk-free monthly lease rate for a 6-year lease in a perfect market?
b. What would be the monthly payment for a 6-year $350,000 risk-free loan to purchase the H1200?
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The China Model Experience And Challenges
Authors: Yongnian Zheng
1st Edition
1433172003, 1433190214, 9781433190216
