Find how would the inclusion of a cancellation option

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Problem 1: James also informed Nick that the lease contract can include a cancellation option. The cancellation option would allow Warf Computers to cancel the lease on any anniversary date of the contact. In order to cancel the lease, Warf Computers would be required to give 30 days' notice prior to the anniversary date. How would the inclusion of a cancellation option affect the value of the lease?

Reference no: EM132958912

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