( Vehicle Finance ) answer D , E , F , G , H , I

Assignment 5.2: Used Vehicles and Using Vehicles (continued) d) Calculate the total cost of the vehicle if it is purchased outright at the end of the lease e) Calculate the total purchase price of the used vehicle sold at the dealership Calculate the monthly loan payment on the used vehicle. 8) Calculate the total cost of the used vehicle if it is purchased through financing. h) How do the monthly leasing payments compare to the monthly finance payments? i) What are the advantages of leasing? What are the advantages of purchasing a used vehicle? * lien dearon cont $4 * Total purchase. price S5979 2. Lisa Carr is comparing the cost of leasing a new vehicle with the cost of purchasing a used vehicle. The new vehicle she is considering leasing sells for $18,500 and leases for $298.98 per month plus taxes for a lease term of 36 months. There is no down payment required. The guaranteed residual value of the vehicle is $10,175. Lisa is also considering buying a used vehicle listed at $10,950 plus taxes from a dealership. In order to purchase the vehicle, Lisa would have to take out a three-year loan at 8%. (10 marks) a) Calculate the total monthly leasing payment of the new vehicle. b) Calculate the total amount paid by the end of the lease on the new vehicle. c) Calculate the total residual value of the new vehicle, including taxes. continued Module 5: Vehicle Finance 71 Assignment 5.2: Used Vehicles and Using Vehicles (continued) d) Calculate the total cost of the vehicle if it is purchased outright at the end of the lease e) Calculate the total purchase price of the used vehicle sold at the dealership Calculate the monthly loan payment on the used vehicle. 8) Calculate the total cost of the used vehicle if it is purchased through financing. h) How do the monthly leasing payments compare to the monthly finance payments? i) What are the advantages of leasing? What are the advantages of purchasing a used vehicle? * lien dearon cont $4 * Total purchase. price S5979 2. Lisa Carr is comparing the cost of leasing a new vehicle with the cost of purchasing a used vehicle. The new vehicle she is considering leasing sells for $18,500 and leases for $298.98 per month plus taxes for a lease term of 36 months. There is no down payment required. The guaranteed residual value of the vehicle is $10,175. Lisa is also considering buying a used vehicle listed at $10,950 plus taxes from a dealership. In order to purchase the vehicle, Lisa would have to take out a three-year loan at 8%. (10 marks) a) Calculate the total monthly leasing payment of the new vehicle. b) Calculate the total amount paid by the end of the lease on the new vehicle. c) Calculate the total residual value of the new vehicle, including taxes. continued Module 5: Vehicle Finance 71