The Car Dilemma You are buying a car. You visit your local dealership to view your options. After viewing
multiple cars you narrow your options down to 3 different cars. Below are the details of each
option
Car #1 - New Luxury Car
2019 Range Rover
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Car #2 - Used Car
2016 Honda Civic
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The cost of a brand new 2019 Range Rover is
$60,000 but it depreciates 25% annually. This
luxury SUV comes with the latest navigation
system, satellite radio with Bluetooth capability,
custom tinted windows, leather interior, and
heated seating throughout. This Range Rover will
make you the coolest driver on the road!
The price of a slightly used 2016 Honda Civic is much
more reasonable and it maintains more of its value
through the years. A dependable family car that you
can count on with basic features!
Year
0
1
2
3
4
Value
20,000 18,000 16,200 14,580 13,122