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If the asset purchased by lease carry some value like scrap value or reconditioning value which is substantial in amount, then it can form a margin for replacement of the original asset. Depending on the resale value of the existing asset, one can decide when to replace the exissting asset by going for a new one through lease or direct puchase, taking into the interest rate and period of repayment offered by the financial institution or banker.

2007-03-22 06:45:41 · answer #1 · answered by arpita 3 · 0 0

if the condition is bad it will decrease the selling price

2007-03-20 11:52:58 · answer #2 · answered by TRACER 6 · 0 0

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