Buying a Car “Which car is the best buy?”

When buying a car there are some variables to consider regarding the price. These variables include: Cost of initial car. Miles per gallon (MPG). Price of gasoline.

“It all adds up” Formula for the price of a car Given –Miles traveled a; –Approx. price per gallon b ; Variables; –Price of car x; –Miles per gallon y; Outcome: With the given price per gallon “b” one could determine how much the total car would cost after “a” amount of miles driven.

Formulas (Initial Price of Car) + (Approx. Gas Price)*((Miles Driven)/(Miles Per Gallon)) = (Total price of Car)

Comparison BMW 325i 26 MPG$30,900 80,000 Miles 2.80 Per Gallon Acura RSX-S 24 MPG$23,845 80,000 Miles 2.80 Per Gallon Miles traveled 80,000Approx. Gas price 2.80 After 80,000 miles which car is a better buy? To check the validity of the information click on the car name

The Breakdown Acura RSX –S 23,000 + (2.80)*((80,000/23)) »33,178 BMW 325i 30,900 + (2.80)*((80,000/26)) »39,515

Conclusion With the rise in gas prices it is important to note the Miles Per Gallon (MPG) the car gets. If the gas price was much higher in our previous example the better buy would be the BMW because it has a higher MPG average.

This presentation was created by Ryan Block