Explore BrainMass

Explore BrainMass

    Lease vs. Buy Calculations

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    1) You want a new car.
    Price of car $40,000, you can purchase for $37 K.

    You can lease it for $5000 down, and payments of $650 per month for 60 months with the option to buy for $1000 at the end of the lease.

    Would you do so at 7.2%? Ignore all tax affects. (So do you lease or buy, and the calculations)

    © BrainMass Inc. brainmass.com March 4, 2021, 7:54 pm ad1c9bdddf

    Solution Summary

    The solution explains how to evaluate a lease versus buy decision.