Suppose you are considering the purchase of a 2011 ford, Business Economics

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Suppose you are considering the purchase of a 2011 ford

Suppose you are considering the purchase of a 2011 Ford Explorer. The car costs $22,000 and you plan to make a $2,000 down payment.

a) For a 48 month lease, the APR is 4.9%. What is your monthly payment?

b) What happens to your answer if you extend the loan for an extra year (at the same APR)? What is your monthly payment now?

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Business Economics: Suppose you are considering the purchase of a 2011 ford

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