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Suppose the purchase price of a tractor is $250.000, its residual value in five years is certain to be $35,000 and there is no risk

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Suppose the purchase price of a tractor is $250.000, its residual value in five years is certain to be $35,000 and there is no risk that the lessee will default on the lease Lease payments are made at the beginning of each payment period. Assume that capital markets are perfect and the risk-free interest rates 48% APR with monthly compounding. The monthly lease payments for a five-year $1.00 out a lease of the tractor are closest to O $5,150 Ob $4,550 O $5.500 06 $4100

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