Suppose you are in the market to purchase a used car. To make an informed decision regarding your purchase, you would like to collect as much information as possible. Among the information you might consider are the typical price of the car, the typical number of miles the car should have, its crash test results, insurance costs, and expected repair costs.
1. Make a list of at least three cars that you would consider purchasing. To be fair, the cars should be in the same class (such as compact, midsize, and so on). They should also be of the same age.
2. Collect information regarding the three cars in your list by finding at least eight cars of each type that are for sale. Obtain information such as the asking price and the number of miles the car has. Sources of data include your local newspaper, classified ads, and car websites (such as www.cars.com). Compute summary statistics for asking price, number of miles, and other variables of interest. Using the same scale, draw boxplots of each variable considered.
3. Go to the Insurance Institute for Highway Safety website (www.iihs.org). Select the Ratings link. Choose the make and model for each car you are considering. Obtain information regarding crash testing for each car under consideration. Compare cars in the same class. How does each car compare? Is one car you are considering substantially safer than the others? What about repair costs? Compute summary statistics for crash tests and repair costs.
4. Obtain information about insurance costs. Contact various insurance companies to determine the cost of insuring the cars you are considering. Compute summary statistics for insurance costs and draw boxplots.
5. Write a report supporting your conclusion regarding which car you would purchase.

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