What Does It Mean? mg Decisions Match the terms relating to the basic terminology and concepts associated with making automobile and housing decisions with the des terms on the right. Read each description carefully and type the letter of the description in the Answer column next to the correct tem These are not necessarily complete definitions, but there is only one possible answer for each term. Answer Rebate Purchase option Lease C. Depreciation Description This refers to the practice of quoting a low price of an asset that is below the actual price of the asset and then adding costs that result in an increase in the price of the asset prior to the signing of the contract. This is a partial refund offered to attract the buyer to purchase the vehicle. This is a legal agreement which states that the details of the sale of the asset (for example, a car) to the purchaser. This type of lease arrangement is often called a walk away lease, because it allows the lessee to merely return the vehicle provided that the preset mileage limit has not been exceeded and the vehicle hasn't been abused. This is the advertised retail price listed on a particular vehicle for sale. This is the price, specified in the lease agreement, at which the lessee can purchase the car at the end of the lease period. This is the worth of the leased asset after the lease period expires. This item in the lease contract is calculated as the total price of the leased vehicle including its negotiated cost and any applicable fees and taxes. E. Closed-end lease Sticker price G. Residual value Low-balling H. Capitalized cost 1. This phenomenon, which represents the loss in the value of an asset that occurs during the period of its ownership is calculated as the difference between the asset's purchase price and its subsequent sale price This is a contract which allows the lessee (consumer) to use the asset, such as car, land services etc., in return for a specific amount paid periodically. Sales contract