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Gm Financial Dealer Lease Calculation Worksheet Form ID Gmfws

Gm Financial Dealer Lease Calculation Worksheet Form ID Gmfws

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[Music] hello and welcome in this video we'll take a look at how to compute a lease or purchase decision so let's say you have a computer that you want to buy and you are trying to decide whether to purchase the computer or lease it and let's uh put some numbers here let's say the cost of the computer is $2,000 and let's say if you want to lease it the annual lease payment is $700 so if you were to purchase it you would basically pay the entire cost upfront of $2,000 if you were to lease it you would instead pay $700 as your first installment and $700 in the at the end of the first year second year and third year and now we want to compare the two Alternatives so if you look at the total cash flow for purchase it is simply $22,000 whereas if you look at the total cash flow for lease you need to compute the net present value of these cash flows and one way to do that is in Excel to First add up the zeroth period or initial cash flow plus and now y

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