Personal Finance Courses: Vehicle Acquisition

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1.
The cost of ownership of a vehicle is the same as the price you paid for it.
Choose wisely. There is only one correct answer.
False. The cost of ownership is the various expenses you will pay for the vehicle over the time that you own it.
2.
When you lease a car, who pays for the insurance on it?
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You. You must pay for the insurance on it.
3.
Financial advisors usually recommend that your car payments should be how much of your take-home pay at the most?
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20%. This is the common recommendation.
4.
If someone steals a precious ornament from the hood of your car, that theft would be covered under _______ coverage.
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Comprehensive. Comprehensive coverage pays for non-collision damages.
5.
When negotiating the price of a car, which starting point is likely to save you the most money?
Choose wisely. There is only one correct answer.
The dealer's price. The dealer's price is what the dealer originally paid for it. Negotiating up from this, rather than down from the asking price, may save you more money.