A. An automobile lease under which the estimated actual value of the car is used to determine lease

C. If the car is worth less than this value at the end of the lease, the lesser must pay the difference

American_Bankers_Association

CTFA · Question #192

Open-end lease is:

The correct answer is B. If the car is worth less than this value at the end of the lease, the lessee must pay the difference D. An automobile lease under which the estimated residual value of the car is used to determine. See the full explanation below for the reasoning.

Fiduciary and Trust Activities

Question

Open-end lease is:

Options

AAn automobile lease under which the estimated actual value of the car is used to determine lease
BIf the car is worth less than this value at the end of the lease, the lessee must pay the difference
CIf the car is worth less than this value at the end of the lease, the lesser must pay the difference
DAn automobile lease under which the estimated residual value of the car is used to determine

How the community answered

(28 responses)

A
11% (3)
B
82% (23)
C
7% (2)

Topics

#open-end lease#residual value#lessee liability#automobile lease

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