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CALCULATING THE

WHAT IS THE FIRST INITIAL PAYMENT
PAYMENT AMOUNT?

Working with your manager and following the example below, complete the following scenarios setting up
the initial payment. Your manager will provide the payment specifics needed for each scenario.

Calculate as many initial payments as needed. Good luck!

For this example, the day rented is a Monday and the rent is $28.99 per week.

Example WELCOME & ORIENTATION / TRAINING ROADMAP

1. Payment Frequency Weekly

2. Special Offer First week 99 cents

3. Renewal Date Next Saturday

4. Number of days until renewal 12 days

5. Amount of rent due today

Weekly rate of $28.99
+
What is the daily rate? $4.14 PD $28.99 / 7 = $4.14 per day

$4.14 x 5 = $20.71

Now add 99 cents for the first week. $20.71 + $.99 =
Total Rent $21.70

6. LDW* (7.5% x rent without special) ($28.99 x 2 = 57.98) x 7.5% = $4.35

7. 8% Sales Tax (8% x rent w/special+ LDW) LDW of $4.35 = rent w/ special of $21.70 =
$26.05 x 8% = $2.08
8. Initial Payment $21.70 + $4.35 + $2.08 = $28.13

Notes:
Try doing the math using the rounded
daily rate (28.99 / 7). Why do you think
it might be important to explain to the
customer that their payment should be
“around $27 or $28”?

*LDW is calculated on the total amount of rent that should be paid for the number of days purchased without regard for discounts or free days.

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