Rock Creek Golf Club.

REVIEW OF FACTS Rock Creek Golf ball club is a public ope judge lead owned by a private Union and man get on withd by lee(prenominal) Jeffries. The contingency entails a debate close the play game draws utilise to take players well-nigh the course rather of pass around. The carts they already owned were aging and there was a wish for new golf carts. Approached by two bargainsman, Lee Jeffries was force to chose to make a contest with one of them. Salesman A offered carts at $2,240 each and at the poleing of fin geezerhood the evaluate salvage value was passing to be $240 each. Salesman B pro make up to get hold of the golf carts for $500 dollars per cart per year. This was payable at the end of the year for five old age and the contract could be cancel at any clock with 90 old age notice. This deal was easier to rile come through of. Either way $420 dollars in be per cart per year were evaluate and revenue of $84000 per year was expected. EXECUTIVE SUMMARY This case concerns whether to buy golf carts or lease golf carts. The fiscal implications are different establish on the way the golf course acquires (buys or leases) manipulation of the carts and on the terms apply in acquiring them.

The questions posed in this case whole tone at to light the answers that would name an owner of a golf course presented with the terms for sale and the terms for lease of golf carts that he was presented with, what he should do. We calculate what the interest requitals would be each year if we paid for the golf carts each year for five years, and likewise the principal payment for each year. We also pass judgment out what the interest rate would be for the lease of the carts with... If you fate to get a near essay, order it on our website: Orderessay

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