Use the following data: Purchase Costs Down payment: $4,800 Loan payment: $340 for 48 months Estimated value at end of loan: $5,100 Opportunity cost interest rate: 2 percent per year Calculate the costs of buying versus leasing a motor vehicle. Cost of buying Cost of leasing Leasing Costs Security deposit: $1,600 Lease payment: $340 for 48 months End-of-Lease charges: $765

Use the following data: Calculate the costs of buying versus leasing a motor vehicle