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Suppose an H1200 supercomputer has a cost of $ 450 comma 000$450,000 and will have a residual market value of $ 90 comma 000$90,000 in
Suppose an H1200 supercomputer has a cost of $ 450 comma 000$450,000 and will have a residual market value of $ 90 comma 000$90,000 in 77 years. The risk-free interest rate is 5.4 %5.4% APR with monthly compounding. a. What is the risk-free monthly lease rate for a 77-year lease in a perfect market? b. What would be the monthly payment for a 77-year $ 450 comma 000$450,000 risk-free loan to purchase the H1200?
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