BUS 341 – You want to lease a set of golf clubs from Pings Ltd

BUS 341 – You want to lease a set of golf clubs from Pings Ltd

Subject: Business    / Finance
Question

You want to lease a set of golf clubs from Pings Ltd. The lease contract is in the form of 36 equal monthly payments at an APR of 10.3 percent, compounded monthly. Because the clubs cost $3,300 retail, Pings wants the PV of the lease payments to equal $3,300.

Suppose that your first payment is due immediately. What will your monthly lease payments be? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Lease payment