INSTRUCTIONS:

Develop a spreadsheet that can be used to compute payments on a finance lease. SHEET 1: Your should have the following labels for cells A7-All, and the spreadsheet should automatically generate the values in cells B7 - B11. Lower on SHEET 1 your spreadsheet, based on the values keyed in, should compute the lease payment for (1) and ordinary annuity lease, and (2) an annuity due lease. A7 Fair Value of Lease Asset = B7 (actual value I can manipulate) A8 Term of the Lease (2 to 5 YRS) = B8 (should be able to key in 1 to 5) A9 No. of Int. Payments each year (1 or 2) B9 (should be able to key in 1 or 2) A10 Annnual Int Rate Specified in Lease (decimal .02 to .08) B10 (should take .02 - .08) A11 Ordinary Annuity (1) or Annuity Due (2) B11 (should take 1 or 2)

(INSTRUCTOR NOTE)- Again: I must be able to manipulate the variates in cells B7 to B11, and when I do, your spreadsheet should automatically compute the lease payments. SHEET 2: Provide an amortization table for an ordinary annuity lease SHEET 3: Provide an amortization table for an annuity due lease.