2027 CLFP Recertification Quiz #2: Pricing Terminology 2027 CLFP Recertification: Quiz #2: Pricing Terminology 1. What does “yield” represent in equipment leasing? * The annualized rate of return from a transaction’s cash flows The upfront cost of financed equipment The monthly lease payment, including taxes and fees The finance agreement’s depreciation schedule 2. What is a lease rate factor primarily used for? * Measuring profitability Determining tax liability Calculating periodic lease payments Estimating residual value 3. What is the purpose of a discount rate? * To calculate commissions To set lease payments To measure tax benefits To determine present value of future cash flows 4. How is the Internal Rate of Return (IRR) defined? * The rate that maximizes lease payments The annual rate where total payments equal cost The difference between equipment cost and residual value The rate where net present value of cash flows equals zero 5. What is the difference between a point and a basis point? * Basis points apply only to taxes A point equals 1%, while a basis point equals 0.01% Both represent the same value A point equals 0.01%, while a basis point equals 1% Name * Name First First Last Last Email - USE THE EMAIL ADDRESS WHERE THE INSTRUCTIONS WERE SENT TO (NOT FROM); OTHERWISE, OUR SYSTEM WILL NOT UPDATE YOUR CONTACT RECORD! * Submit If you are human, leave this field blank.
