1. 7-4 BUYING A USED CAR OBJECTIVES: 1) TO FIND THE COST OF A USED CAR 2) TO FIND THE COST FOR A MECHANIC TO CHECK THE USED CAR AND REPAIR IT Warm Up Calculate:220 + 175 + 8350 + 8350(0.06) + 3.5(80)

2. 7-4 BUYING A USED CAR OBJECTIVES: 1) TO FIND THE COST OF A USED CAR 2) TO FIND THE COST FOR A MECHANIC TO CHECK THE USED CAR AND REPAIR IT Homework Answers

3. 7-4 BUYING A USED CAR OBJECTIVES: 1) TO FIND THE COST OF A USED CAR 2) TO FIND THE COST FOR A MECHANIC TO CHECK THE USED CAR AND REPAIR IT Example 1 p 259 Total Repairs = 345 + 27.50 + 2.5(70) +.05(345 + 27.50) Total Repairs = 345 + 27.50 + 175 + 18.63 Total Repairs = $566.13

4. 7-4 BUYING A USED CAR OBJECTIVES: 1) TO FIND THE COST OF A USED CAR 2) TO FIND THE COST FOR A MECHANIC TO CHECK THE USED CAR AND REPAIR IT Example 2 p 259 Total Cost = 10,499 + 645 + 2(55) +.05(10,499) Total Cost = 10,499 + 645 + 110 + 524.95 Total Cost = $11,778.95

5. 7-4 BUYING A USED CAR OBJECTIVES: 1) TO FIND THE COST OF A USED CAR 2) TO FIND THE COST FOR A MECHANIC TO CHECK THE USED CAR AND REPAIR IT Example 3 p 259 According to Table 7.2 on p 255, a $20,000 mid-size car would have an accumulated depreciation of (4915 + 2285 + 1835) $9035. So, an average resale value would be $20,000 – 9035 = $10,965 So, the car in example 2 might be slightly underpriced on average

6. 7-4 BUYING A USED CAR OBJECTIVES: 1) TO FIND THE COST OF A USED CAR 2) TO FIND THE COST FOR A MECHANIC TO CHECK THE USED CAR AND REPAIR IT Homework p 260-261 #1-4, 9-14