buying a car

APR is...

• Annual Percentage Rate

• Artificial Petroleum Reserve

• Annual Price Reduction

Having a lower APR could mean that your...

• monthly car payment is lower

• interest paid is higher

• car loan will be over a longer period of time

a reduction in the value of an asset over time is called

• appreciation

• depreciation

• inflation

One advantage to leasing a car is:

• You can drive nicer vehicles and have up-to-date features.

• Wear and tear costs

• limits on mileage

You're likely to save more money in the long run if you...

• Buy a used car

• Lease a car

• Buy a new car

Which is a better financial choice for getting a car loan?

• 5% down-payment and term of 6 years.

• 20% down-payment for a term of 4 years

Select all of the following GOOD ADVICE for car purchases...

• Always invest more money than your monthly car payment.

• Negotiate your car purchse

• Test drive your car

• Forget extras like heated seats and sunroofs

The manufacturer's suggested retail price, or the price that car builders say the car should be sold at.

• downpayment

• MSRP

• MPG

• total cost of ownership (TCO)

A long term rental of a car. You need to pay monthly payments for the vehicle and it must be returned at the end of the contract.

• seller

• lemon

• lease

• downpayment

Most people cannot afford to pay for a new car in one day. Instead, people pay the cost over time, but sellers require a certain amount of money the day you buy it. This is called what?

• downpayment

• VIN

• insurance

• lease