Question

Sam leases a car for 24 months. The car will cost him $7,000 if he decides to buy it at the end of the lease. What term describes the $7,000?
A.) Interest
B.) Residual Value
C.) Lease Amount
Will fan and medal

Answer 1

Residual value. If you lease a car for three years, its residual value is how much it is worth after three years. The residual value is determined by the bank that issues the lease before the lease begins. It is based on past models and future predictions.

Answer 2

so B

Answer 3

that's correct!

Answer 4

thank you