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A lease payment is based on the depreciation during the lease period plus finance charges. The money factor (equivalent to interest) determines the financing cost portion of your payment.
Review the inputs carefully and treat the output as an estimate. For decisions involving money, taxes, health, law, or security, compare the result with trusted professional guidance when needed.
What is money factor?
Money factor is the financing charge on a lease, similar to an interest rate. Multiply by 2400 to convert to an approximate APR. For example, 0.003 × 2400 = 7.2% APR.
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