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February 19, 2010A company leases office equipment with an original price of $12,000 for $400 per month. The lease also has an option to buy. Fifty percent of the monthly lease price can be applied to the purchase price, up to 30% of the original sale price. If the company commits to purchase the equipment in less than 2 years, the original price will be reduced by 10%. How much will the company owe on the equipment if they buy it after 15 months?.
A) 7,800
B) 10,800
C) 4,200
D) None of the above
Please explain
Take off 10% of original price of $12,000.00=$10,800.00
50% of monthly lease price @ $400.00 per month x15=.5x$6,000.00=$3,000.00
Subtract $3,000.00 from $10,800.00=$7,800.00
There’s your answer and explanation. Your welcome.
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Take off 10% of original price of $12,000.00=$10,800.00
50% of monthly lease price @ $400.00 per month x15=.5x$6,000.00=$3,000.00
Subtract $3,000.00 from $10,800.00=$7,800.00
There’s your answer and explanation. Your welcome.
References :
I did the math.