Question

Jordan plans to lease a BMW from a local car dealership. Help Jordan understand the lease terms for this car.

Jordan leases a BMW from a local car dealership. The dealer informs her that the loan amount is not for the (Sales/Discount/Reassessed/Purchase) price. Instead, she will pay for the car’s (Commercial/Residual/Market/Current) value.

Answer 1

Meaning the price of the car will depend on the price in the Market (Commercial/Market Value) or the value of the car after it is fully depreciated (Residual Value) or its remaining value based on the books (Current Value) excluding the depreciation.

Hope this might help you.

Answer 2

Here you go!

Jordan leases a BMW from a local car dealership. The dealer informs her that the loan amount is not for the purchase price. Instead, she will pay for the car’s residual value.