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?