Burlington Northern Railroad Company: Equipment Leasing
Publication date: 20 January 2017
Abstract
The director of equipment finance at Burlington Northern Railroad Company must decide if a leveraged-lease proposal is acceptable. The case emphasizes the importance of the lessee's tax status to the value of the lease and how the perception of residual value affects the valuation for both the lessee and lessor. To value the lease properly, the student must identify the relevant cash flows and the appropriate discount rates for those flows.
Keywords
Citation
Eades, K.M. (2017), "Burlington Northern Railroad Company: Equipment Leasing", . https://doi.org/10.1108/case.darden.2016.000055
Publisher
:University of Virginia Darden School Foundation
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