9.3, 9.4, & 9.5 used car, car insurance & cost/mile Practice

Annual Base Premium =

• Base Price + Options + Destination Charge

• Average Retail Value + Additional Options - Options Deductions - Mileage Deduction

• Liability Premium + Collision Premium + Comprehensive Premium

• Annual Base Premium x Driver Rating Factor

Average Retail Price =

• Base Price + Options + Destination Charge

• Average Retail Value + Additional Options - Options Deductions - Mileage Deduction

• Liability Premium + Collision Premium + Comprehensive Premium

• Annual Base Premium x Driver Rating Factor

Annual Premium =

• Base Price + Options + Destination Charge

• Average Retail Value + Additional Options - Options Deductions - Mileage Deduction

• Liability Premium + Collision Premium + Comprehensive Premium

• Annual Base Premium x Driver Rating Factor

Liability Insurance is required

• True

• False

Collision Insurance pays for damages to

• my car

• the other person's car

A deductible is

• the amount that you have to pay for damages before the insurance company starts paying

• the amount the insurance company pays for damages

• the amount you owe for the year to have car insurance

• the amount you deduct off the price of a car

Calculate the monthly fixed cost for operating the car.

• $345 per month for financing
• $286 per month for insurance

• $631

• $59

• $345

• $286

Patrick is buying a used car. His monthly car payment is $105. His insurance premium is $1200 annually. How much are Patrick's monthly fixed costs?

• $205

• $105

• $100

• $2460

Janice gets her oil changed four times a year. If each oil change costs $59.99 plus tax (15% tax), then how much does she spend on oil changes every year?

• $275.95

• $239.96

• $279.83

• $263.96

Which of the following is NOT true about buying a used car

• The car will have a lower cost

• The car will have little to know warranty

• You will have choice of purchasing extra options on the car (ex. sunroof)

• You should be aware of the mileage