Based on the following data:

a) Prepare a financial comparison of buying and leasing a motor vehicle with a $30,000 cash price.

Down payment (to finance vehicle), $5,000

Down payment for lease, $1,500

Borrowing cost is 12%

Monthly loan payment, $610

Monthly lease payment, $505

Length of loan, 48 months

Length of lease, 48 months

Value of vehicle at end of loan, $8,300

End-of-lease charges, $450

b) What other factors should a person consider when choosing between buying or leasing?

c) Is leasing better than buying?

Buying a home is the biggest purchase you will likely ever make, and special attention needs to be paid to certain steps.

Q1.Briefly identify and describe some key considerations and steps in the home-buying process.

Q2.Should you Rent or Buy your Home?

Q3.Consider a $30,000 fully amortizing loan with a term of five years and a fixed interest rate of 12%. Payments are made on a yearly basis.

a) What is the size of each of the payments?

b) Calculate the breakdown between interest and principal paid each year, i.e., construct a loanamortization schedule for a $30,000.