Maintaining a Car

A _____ is a promise to repair problems with the car within a certain period of time.

• warranty

• lease

• insurance

• loan

The easiest way to pay for a car is by using _____.

• cash

• loan

• lease

• insurance

A car _____ is an agreement to borrow money and pay it back with interest over a regular schedule.

• warranty

• loan

• lease

• insurance

Polly has a good credit score, so she is offered an interest rate of 4.85% on a car loan. She can finance $18,000 to make a monthly payment of $332.40 for 60 months. How much does she pay in interest on this loan?

• $1,944

• $2,255

• $1,672

• $2,136

A _____ is an agreement to make regular schedule payments for a specified period of time.

• warranty

• loan

• lease

• insurance

Auto _____ protects your investment in your car and gives you a way to deal with the expense of accidents, vandalism, or theft.

• warranty

• loan

• lease

• insurance

_____ insurance covers damage to your own vehicle incurred in an accident.

• collision

• general liability

• comprehensive

• medical payments

• uninsured motorist

_____ insurance covers damages you might cause to other people's property as well as injuries to the people themselves.

• collision

• general liability

• comprehensive

• medical payments

• uninsured motorist

_____ insurance covers fire damage to your vehicle, break-ins, vandalism or theft, and natural disasters.

• collision

• general liability

• comprehensive

• medical payments

• uninsured motorist

_____ insurance covers medical expenses for injuries.

• collision

• general liability

• comprehensive

• medical payments

• uninsured motorist