You bought a car for Rs. 8 Lakhs, 4 years ago. The current trade-in value for this car is Rs. 2.5 Lakhs. It will last for 3 more years with an annual maintenance cost of Rs. 1.5 Lakhs. It has a salvage value of 1 Lakh. A new car has an EUAW of Rs. 2.5 Lakhs. Will you retain or replace the old car? MARR is 15%.

I will retain my old car

I will replace my old car