Question

Lease TermsCost What is the total costMonthly fee $550of a 36-month leaseDeposit $2,500Registration $300 with the termsand TitleDisposition fee $350 described in the table?Acquisition fee $600A. $21,050B. $19,800C. $23,550D. $24,750

Answer 1

The different costs given in the table are all one-time payments except the Monthly fee.

The total cost is calculated by getting the sum total of all the different terms involved in the lease terms. Therefore, we have to calculate the cost of the monthly fee over 36 months.

Monthly fee:

`\Rightarrow550*36=19800`

Total Cost:

The total cost is calculated by adding all the different costs. Therefore, we have:

`\begin{gathered} TC=19800+2500+300+350+600 \\ TC=23550 \end{gathered}`

The correct option is OPTION C