Question
Jeremy has a 207 Toyota Prius with 150,000 miles on it. The battery needs to be replaced, which will cost $10,000. Alternatively, Jeremy is considering
Jeremy has a 207 Toyota Prius with 150,000 miles on it. The battery needs to be replaced, which will cost $10,000. Alternatively, Jeremy is considering purchasing a 5-year old Ford Taurus for $10,000. Jeremy estimated the following costs for the two cars:
Toyota Prius Ford Focus
Acquisition cost $24,000 $10,000
Repairs $10,000
Annual operating costs
(Gas, maintenance, insurance) $1,980 $1,450
The cost NOT relevant for this decision is the ________.
acquisition cost of the Toyota Prius | ||
annual operating costs of the Ford Focus | ||
repairs to the Ford Focus | ||
acquisition cost of the Ford Focus |
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