Discovermathandsciencenow.weebly.com



FOM12 – Homework Assignment: Due Wed Dec 2/15Car ShoppingYou have decided that you would like to drive a new car when you graduate from high school.In this task, you will compare the cost of owning that car versus the cost of leasing that car and present your findings.Most automobile manufacturer websites have a "build and price" link. Use this link to build a vehicle that you would be interested in purchasing. Determine the cash purchase price of the vehicle, and the monthly payment for both leasing and financing. Calculate the total cost of financing, including all payments and interest. Calculate the total cost of leasing, assuming you buy the vehicle out at the end of the term. Think about which option you would choose, and why. You will need to decide on the term of the lease and loan (use the same term for both), the interest rate, and the amount of a reasonable down payment.3456305-125285500To complete this task, you will:Build and Price (2 marks)Visit a manufacturer website and build a vehicle that interests you. Clearly communicate the make, model, options, and cash purchase price.Research Cost of Financing (Financing = a Car Loan) (3 marks)Determine the monthly payment if the vehicle is financed. Include a reasonable down payment amount if you think you would have access to one. Communicate the interest rate, term of the loan, and any finance charges. Determine the total amount the vehicle would cost over the term of the loan.Research Cost of Leasing (3 marks)Using the same down payment and the same term, determine the monthly payment if the vehicle is leased. Communicate the interest rate, term of the lease, the residual value, and any leasing charges. Determine the total amount the vehicle would cost over the term of the lease, assuming you buy it out at the end.Make a Choice (2 marks)Choose leasing or financing. Explain why that choice is the most logical one for you. Explain why your choice matches your anticipated financial situation.Foundations of Mathematics 12Student Worksheet - Car ShoppingBuild and Price:Determine what kind of vehicle you would like to own. This vehicle could be a dream vehicle, or one that you realistically think you might be able to buy in a few years. Most manufacturer websites have a “build and price” link where you can choice your make and model and build your vehicle, including all the options you want in it (including the cost of each). Note: Make sure you are looking at Canadian Websites so the prices, interest rates and freight charges reflect local costs. Some sites that have the “build and price” are:toyota.ca vw.ca nissan.ca audi.ca mazda.ca For used cars, check autotrader.ca Make:Model:Options/Trim:Price of Vehicle including all options, taxes, freight etc.Cost of Financing:After building your vehicle, you should be able to find the payment information, which will include monthly payments based on financing and leasing. Start with financing. It will look something like this.217106511430Indicate below what values you chose for the interest rate, the term of the loan (how long the loan is for), and your down payment. Explain why you chose these values.Interest Rate:Term:Down Payment:What monthly payment does the website say you will have to make for this vehicle?Use the monthly payments to determine the total cost of your vehicle by financing. 00Indicate below what values you chose for the interest rate, the term of the loan (how long the loan is for), and your down payment. Explain why you chose these values.Interest Rate:Term:Down Payment:What monthly payment does the website say you will have to make for this vehicle?Use the monthly payments to determine the total cost of your vehicle by financing. Foundations of Mathematics 12Student WorksheetCar Shopping Cost of Leasing:Next, look at leasing. For the same vehicle you built on the first page, look at the leasing option. On the website, you should be able to find information that looks something like this.1828800163830Indicate below what values you chose for the interest rate, the term of the loan (how long the loan is for), and your down payment. Explain why you chose these values.Interest Rate:Term:Down Payment:What monthly payment does the website say you will have to make for this vehicle?Determine the total cost of your vehicle by leasing. This value is the total cost of all the payments, plus the residual value.00Indicate below what values you chose for the interest rate, the term of the loan (how long the loan is for), and your down payment. Explain why you chose these values.Interest Rate:Term:Down Payment:What monthly payment does the website say you will have to make for this vehicle?Determine the total cost of your vehicle by leasing. This value is the total cost of all the payments, plus the residual value.Make a Choice:Communicate clearly which option is better for you, and why. Consider your situation, ability to pay, need for a car, and any other relevant factors. ................
................

In order to avoid copyright disputes, this page is only a partial summary.

Google Online Preview   Download