# Uniform Series Problem

1. Jun 4, 2012

### Larrytsai

Penelope wants to buy a car that is worth $43,195 by making a$4300 down payment and arranging a four-year lease
that calls for monthly payments in advance, interest of 2.91 percent compounded monthly, and a buyout payment of
\$20,000 at the end of the lease. Calculate the amount of the monthly lease payment Penelope must make.

So what I thought of doing is

I subtract

43195 - 4300 - PRESENTVALUE OF (20000) = A[1-(((1+(0.0291/12))^-48))/]

PRESENTVALUE OF (20000) = 20000/((1+(0.0291/12))^48) = 17804.89

I get A = 465,

Im not sure if this is right, the solution saids 464.85, I carried all my decimals in my calculations as well.

2. Jun 7, 2012

### vela

Staff Emeritus
Your equation seems to be missing some factors.

My calculations come up with 464.85. Without seeing the details of your calculation, it's impossible to say what went wrong.