A real estate salesperson can lease an automobile for five years at $500 per month payable at the…
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A real estate salesperson can lease an automobile for five years at $500 per month payable at the beginning of each month, or purchase it for $28,000. She can obtain a loan at 9.75% compounded monthly to purchase the car. Should she lease or buy the car if: a. The trade-in value after five years is $5000? b. The trade-in value after five years is $8000?
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