MAT 1010 Car Buying vs. Leasing Homework
Homework is Due Monday at the BEGINING of Lab
1. Find a group of 2-4 people to work with. I am expecting
that you will work on this homework outside of class.
(If you decide on a car quickly, this should take around 15 minutes)
As
a group, decide on the following together
(you may each wish to do this, and then meet briefly to decide
which car you want to go with):
2.
Go to the Edmunds page
at http://edmund.com/edweb/.
Be patient, as it may take awhile. Follow the links on their
page to find a new or used car your group wishes to buy.
For example, you might click on New Cars, then on Subaru,
then on (2000 Pricing Also Available),
then on,
2000 Subaru Impreza 2.5 RS AWD Sedan,
then on
Vehicle Prices (MSRP, Dealer Invoice, & TMVSM),
then copy and paste this info into Microsoft Word,
then hit the Back key,
then click on
Optional Equipment (Descriptions & Prices) and scroll down past
the color choices to
list the nonstandard options you wish to purchase along with their price.
Copy and paste this info into Microsoft Word.
If you don't find a car you like on Edmunds, you may search the web
for other cars (you must find out the info needed below).
Be sure that your print out includes the
MSRP and dealer invoice, the destination charge (which you must
pay for), and the price of
any options that you want.
Each group should do one car, and decide on the info. One set of printouts
per group due.
Print out Microsoft Word sheet with the
vehicle name, prices and optional equipment prices that
your group wants.
Assume
that you have negotiated with the dealer and will pay $500 over the
invoice price. You must also pay the destination charge, and
any special taxes.
Circle any options that you want and add everything up.
What is the price of your car with all options you want,
the $500 over invoice, the destination
charge and any other special fees?
In North Carolina, you must pay a 3% sales tax. Add this to the price
of your car to get your car's total price. How much is this?
3. Assume that you will put 10% down on your car.
Then you will need a loan for 90% of the car's total price (in bold above).
What is 90% of the car's total price (which you will need to take out
as a loan)?
To get actual rates and payment information, and to have the
ability to immediately
apply on-line, Edmund's recommends visiting
http://www.CarFinance.com/edmunds/fin.mcgi for a free, no
obligation quote.
Enter in the relavant information onto this page and then click on
Custom Search and Ok
to view the rates (this may take a while).
Print out the first page of this web sheet with your
loan rate quotes.