If a Financial Analysis of a Lease Shows a Negative

question 71

Multiple Choice

If a financial analysis of a lease shows a negative result of $500, a manufacturer could alter the lease terms to make leasing profitable by:

• A)cutting his price to the lessor by more than $500.
• B)raising the CCA rate for the lessor.
• C)raising salvage value by lowering the discount rate.
• D)raising the lease terms.

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Definitions:

Endorser

Signature on the back of the check of the payee.

Endorsement

An act of giving one's public approval or support to someone or something, often used in contexts of advertisements or political backing.

Deposit Slip

A document provided by a bank for a depositor to fill out, designed to accompany bank deposits, detailing the items being deposited.

Currency

Any form of money; the name given to the cash we use in our society.