The basis used to calculate lease payments, including the vehicle price, any associated fees, optional services, and then subtracting any cap cost reduction (down payment). Also known as Net Capitalized Cost. See definition for Capitalized Cost.
The difference between the gross capitalized cost and any capitalized cost reduction. Also referred to as the Adjusted Capitalized Cost. This amount is used to calculate the lease payment.
The "capitalized cost" (car's price), minus any deductions to reduce the price of the car. Common deductions are the downpayment, trade-in credit and manufacturer's rebate. The adjusted capitalized cost is used to calculate your monthly payment. It is similar to the "amount financed" in a purchase transaction.