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Buying a car

Total questions: 15

Worksheet time: 9mins

Name
Class
Date
1.

In What 3 states is it most expensive to own a car

(a)  

2.

Which cost is associated with Maintenance of a car?

a)

Headlight

b)

Radio

c)

Windows

d)

Oil change

3.

Depreciation is the reduction in (a)   of an asset over time.

4.

How are lease payments determined?

a)

Your lease payment covers only the interest on the loan

b)

Your lease payment covers the depreciation of the vehicle + interest

c)

Your lease payment covers the overall maintenance on the vehicle.

d)

Your lease payment covers principal on the loan+ interest

5.

Buying a New car is always better than buying a used car.?

a)

True

b)

False

6.

Every New vehicle is covered but it’s only for a limited time and mileage.

a)

Rebate

b)

Interest rate

c)

Sticker price

d)

Limited warranty

7.

A business that sells new or used cars?

a)

Krogers

b)

Dealership

c)

Parents

d)

Cousine

8.

An Agreement where an individual makes monthly payments to use a car for a certain length of time instead of purchasing the car.

a)

Partnership

b)

Ownership

c)

Lease

d)

Purchase

9.

An auto loan that is financed by the dealership in which the dealership may place a device on your vehicle to disable your vehicle if you miss a payment.

a)

Buy Here, Pay Here

Financing

b)

Captive Finance

c)

Bank

d)

Credit union

10.

Ford Credit, Toyota Financial, GM Financial are examples of what type of Finance?

a)

Group Finance

b)

Amazon

c)

Captive Finance Company

d)

Rightway

11.

A used car that has been inspected, refurbished, certified and warranted by the original manufacturer.

a)

Used Vehicle

b)

Lease

c)

Certified Pre-Owned

d)

Pre-owned

12.

A Type of auto loan where the dealership connects you with a lending institution.

a)

Bank

b)

Credit union

c)

Online lender

d)

Dealer-arranged Financing

13.

Buying a vehicle where you pay a monthly payment towards your auto loan.

a)

Financing

b)

Layaway

c)

Cash advance

d)

Statement

14.

You should purchase a used car that is least how many years old?

a)

1

b)

5

c)

6

d)

20

15.

What is the average price of a new car?

a)

$35,400

b)

$25,456

c)

$50,001

d)

$48,334