A lease is a contract outlining the terms under which one party agrees to rent property owned by another party.

Lease payment is the amount provided by the lease holder on a regular basis to the owner of the property for a specific period of time in exchange for use of the property.

**Formula to calculate Lease payment.**

Depreciation fee is what the lessee pays the lessor for the loss in value of the asset.

Finance fee is a fee representing the cost of credit, or the cost of borrowing.

Sales tax is the state or local tax charged on the sale price.

**Example:**

An individual leased an apartment from a real estate company. He was charged a depreciation fee of $ 100, a finance fee of $ 50 and a sales tax of $ 30. Calculate her lease payment.

Therefore, her lease payment is $ 180.