Ben is discussing with Toyota Financials about leasing a new CAMRY car. The lease term is for 36 months with first payment due in a month. The agent gave Ben the following options: A. Zero down payment; Monthly Lease Payment = $399; Annual Interest Rate = 6.0% B. $3999 down payment, Monthly Lease Payment = $299; Annual Interest Rate = 6.0% Which option should Ben take? Why? Calculate PV of both options.

Answer rating: 100% (QA)

To determine which option Ben should take we need to calculate the present value PV of both options ... View the full answer