If you plan to purchase the vehicle at the end of the lease period,you would pay the residual value if your lease was open-ended.

Question

Quizplus · Accepted Answer

In an open-ended lease, the residual value is not predetermined, and the actual market value at the end of the lease determines the buyout price. In a closed-end lease, the residual value is predetermined, and you would pay this amount if you choose to purchase the vehicle at the end of the lease period.

If You Plan to Purchase the Vehicle at the End