1 ) A leasing contract calls for an immediate payment of $116,000 and nine subsequent $116,000 semiannual payments at six-month intervals. What is the PV of these payments if the annual discount rate (i.e. EAR) is 9%? (Do not round intermediate calculations. Round your answer to the nearest dollar amount.) Present value $

2) Kangaroo Autos is offering free credit on a new $15,000 car. You pay $300 down and then $490 a month for the next 30 months. Turtle Motors next door does not offer free credit but will give you $1,140 off the list price. a. If the rate of interest is 10% a year (about 0.8333% a month), calculate the present value of the payments to Kangaroo Autos. (Do not round intermediate calculations. Round your answer to 2 decimal places.) Present value $

b ) which company is offering a better deal

1 ) turtle motors

2 ) kangaroo motors