For nonstandard merchandise, similar to specialized manufacturing tools, the residual worth risk is troublesome to assess. This bigger uncertainty will sometimes be compensated by the next margin within the required lease payments. An estimate of the uncertainty within the residual worth needs to be included within the valuation of the lease contract on the financial capital time horizon if the lease contract has not ended by then. In some circumstances the lessee has the proper to buy the asset on the end of the lease contract against a predetermined value.
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