Question

Which of the following is not a fee that contributes to the initial cost of leasing a car? a. First payment b. Final payment c. Acquisition fee d. Disposition fee Please select the best answer from the choices provided A B C D.

Answer 1

The final payment is not a fee that contributes to the original cost of leasing an automobile, option B is the correct answer.

How is leasing charged?

The first payment is, predictably, the same as one month's rent.

A lender or lessor will impose an acquisition fee to offset the costs of establishing a loan or lease agreement.

A disposition fee, sometimes known as a turn-in fee, is a cost associated with returning a rented vehicle.

Therefore, final payment doesn't contribute to leasing a car.

For more information about leasing, refer below

brainly.com/question/1059164

Answer 2

The disposition fee does not contribute to the initial cost of leasing a car as it is paid at the time of returning the car to the leasing company.

What is disposition fee?

A disposition fee is an amount charged to the individual leasing the car at the end of their lease to prep it for the next buyer.

This is done to cover the leasing company's costs of disposing of or selling the leased vehicle.

Therefore, Option D. disposition fee is the correct answer as it does not form part of the initial cost of leasing a car.

To learn more about disposition fee, refer to the link:

brainly.com/question/1059164