Finance Factor definition
Finance Factor means (i) Wall Street Journal Prime (defined below) plus one percent (1%) divided by (ii) twelve (12). "Wall Street Journal Prime" shall mean the prime rate or base rate on corporate loans posted by at least seventy-five percent (75%) of the nation's thirty largest banks as published in The Wall Street Journal (Midwest edition), on the last business day prior to the date a rental is due. For example, if on the last business day prior to the due date of a rental, Wall Street Journal Prime is eight percent (8%) and the Applicable Base Amount at such time is $1,500,000, then such rental due shall be $51,250 ($40,000 + (1,500,000 × .0075).
Examples of Finance Factor in a sentence
For each month of said term beginning after the first anniversary of the commencement date hereof, or any portion thereof, Lessee shall pay to Lessor rent of (i) $40,000 plus (ii) the product of the Applicable Base Amount (defined below) multiplied by the Finance Factor (defined below).