Drill 28 ·
AP Business with Personal Finance: Household Decision Drill 28 is a practice drill. It contains 5 original questions created by Brian Stewart, a Barron's test prep author with over 20 years of tutoring experience.
A personal-finance decision drill in which a household applies decision criteria to three used cars using total cost of ownership; it uses an invented company and original figures.
Tobias Renner is buying a used car and has narrowed the choice to three. He plans to keep the car for 3 years. To compare them fairly he looks at total cost of ownership, which is the sticker price plus the estimated fuel and repair costs over the 3 years, not just the sticker price.
Tobias Renner: Three Used Cars (dollars)
| Car | Sticker price | Fuel + repairs over 3 years | Total cost of ownership |
|---|---|---|---|
| Car A | 9,000 | 6,000 | 15,000 |
| Car B | 11,000 | 3,000 | 14,000 |
| Car C | 8,000 | 7,500 | 15,500 |