Question

Sally is near the end of a three year lease on a car with an original MSRP of $38,000. Her leasing company claims that the car is now worth only $28,500. Which percentage represents the residual value of Sally’s leased car?

a.
25%
b.
33%
c.
67%
d.
75%

Answer 1

Option D is correct from how the three tear lease on a car with an original MSRP of $38,00

Answer 2

Option D is correct.

Explanation:

Original Price of car = $38,000

Current Price of car = $28,500

The residual value of Sally's leased car = x = ?

Residual value * Original Price = Current Price

x * 38,000 = 28,500

x = 28,500/38,000

x = 0.75

Since we need to find percentage

Multiply the residual value with 100 i.e,

0.75 * 100 = 75%

Option D is correct.