Trying to figuere out MF and Residual from advertisement

I am trying to figure the Money Factor and Residual (I don’t know why the manufacturers are so cryptic about this) from the manufacturer’s web site. Based on the information below, can the MF and Residual be figured out? If so, can someone please pave the way.

2017 MDX 9 Speed Automatic SH-AWD Featured Special Lease$459.00 per month for 36 months. $3,499.00 total due at signing.Includes down payment with no security deposit. Excludes taxes, titles and either dealer fees or documentary service fee. For well-qualified lessees.Closed-end lease for 2017 MDX 9 Speed Automatic SH-AWD vehicles (YD4H3HJNW) available from September 13, 2016 through October 31, 2016, available to well-qualified lessees approved by Acura Financial Services.

** Not all lessees will qualify. Higher lease rates apply for lessees with**
** lower credit ratings. MSRP $46,890.00 (includes destination, excludes **
**tax, license, title fee, registration, documentation fee, options, **
**insurance and the like). Actual net capitalized cost $42,537.49. Net **
**capitalized cost includes $595 acquisition fee. Dealer contribution may **
**vary and could affect actual lease payment. Total monthly payments **
$16,524.00. Option to purchase at lease end $30,009.60.Must
** take new retail delivery on vehicle from dealer stock by October 31, **
**2016. Lessee responsible for maintenance, excessive wear/tear and **
**15¢/mile over 10,000 miles/year for vehicles with MSRP less than **
**$30,000, and 20¢/mile over 10,000 miles/year for vehicles with MSRP of **
$30,000 or more. See your Acura dealer for complete details.

Option to purchase at lease end $30,009.60
MSRP $46,890.00


So 64% residual.

MDX lease numbers are available in edmunds forum. Why do you want to reverse engineer it ?

You cannot get MF from the advertisement because of this:

Given that

We don’t know what is the Adjusted Cap Cost which includes dealer contribution.

Please correct me if I am wrong.

It can be reverse engineered.

Net capitalized cost = $42,537
Residual = $30,009

Monthly depreciation = ($42,537 - $30,009) / 36 = $348
Monthly finance charge = ($42,537 + $30,009) * MF = $111

Algebra gets us a MF of .00153.

1 Like


Thank you so much for making sense out of the numbers.


Thank you so much!