Mandel Leasing leased a car to a customer. Mandel will receive $450 a month, at the end of each month, for 36 months. Use the PV function in Excel to calculat the answers to the following questions 1. What is the present value of the lease if the annual interest rate in the lease is 9%? 2. What is the present value of the lease if the car can likely be sold for $8,000 at the end of three years? COITE 1. What is the present value of the lease if the annual interest rate in the lease is 9% ? (Do not round intermediary computations, but round your final answer to the nearest cent.). The present value of the lease is -12447.31

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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A 92.

Mandel Leasing leased a car to a customer. Mandel will receive $450 a month, at the end of each month, for 36 months. Use the PV function in Excel to calculate
the answers to the following questions
1. What is the present value of the lease if the annual interest rate in the lease is 9%?
2. What is the present value of the lease if the car can likely be sold for $8,000 at the end of three years?
1. What is the present value of the lease if the annual interest rate in the lease is 9% ? (Do not round intermediary computations, but round your final answer to the
nearest cent.)
The present value of the lease is
-12447.31
Transcribed Image Text:Mandel Leasing leased a car to a customer. Mandel will receive $450 a month, at the end of each month, for 36 months. Use the PV function in Excel to calculate the answers to the following questions 1. What is the present value of the lease if the annual interest rate in the lease is 9%? 2. What is the present value of the lease if the car can likely be sold for $8,000 at the end of three years? 1. What is the present value of the lease if the annual interest rate in the lease is 9% ? (Do not round intermediary computations, but round your final answer to the nearest cent.) The present value of the lease is -12447.31
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