from que Flashcards by mango fy

Q

How to work out PVFLP

A

PV x (1-(1+rate)^-n/rate

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Q

How to work out total finace cost of lease

A

Gross repayments ( number of annual installments x years) - PVFLP

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Q

What discount rate is used when doing lease vs buy calculations

A

Post Tax Loan Rate : loan rate x (1-tax rate)

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