30-3 Buying a Vehicle

What is an operating cost?

• A cost that is the same each month

• A cost that changes each month

• A cost that changes each year

What is an ownership cost?

• a cost that is the same each month

• a cost that changes each month

• a cost that changes each year

Select all the operating costs:

• gas

• maintenance

• insurance

• monthly payment

Select all the ownership costs:

• oil changes

• monthly payment

• insurance

• new tires

What is residual cost?

• number of months x monthly payment - loan amount

• the cost to buy a vehicle after a lease

• the total cost -down payment

What is the formula for calculating a loan?

• after-tax price - down payment

• tax x total price

• total cost + interest

Why might you choose to buy a car instead of leasing one?

What is depreciation value?

• the value of a vehicle after it lessens after a few years

• the value of a vehicle after taxes

• the amount you pay on a loan

Do you pay for extra kilometers when buying a car or leasing a car?

• buying

• leasing

to calculate the cost of a vehicle, you must add all the extra charges to the price of the vehicle, and then multiply with the tax amount

• true

• false