Use the Information for the Question(s)below

question 46

Essay

Use the information for the question(s)below.
Suppose the purchase price of a bulldozer is $90,000,its residual value in four years is certain to be $15,000,and there is no risk that the lessee will default on the lease.Assume that capital markets are perfect and the risk-free interest rate is 6% APR with monthly compounding.
-Calculate the monthly lease payments for a four-year fixed price lease that allows the lessee to buy the bulldozer at the end of the lease for $8000.

---

Definitions:

Natural Selection

The process by which organisms better adapted to their environment tend to survive and produce more offspring.

Genome

Every piece of genetic material or gene set found in an organism or its cell.

Epigenetic Marks

Chemical modifications to DNA and histone proteins that affect gene expression without altering the underlying DNA sequence.

Environment

The surroundings or conditions in which a person, animal, or plant lives or operates, including both natural and human-made factors.