6. When you lease a car you do not pay taxes on the cost of the car but instead pay taxes on each monthly payment. 7. When buying a used car privately (instead of a dealership) in MB you pay GST and PST taxes. 8. A disadvantage to leasing is if you decide to buy the vehicle at the end of the lease then the overall cost is much higher then if you had bought the car new. 9. Find the depreciated value of a car after two years if the total purchase was $19 500 and it depreciates 15% each year. (TWO MARKS) # 19 500 x 0. 15 - # 2, 925 # 2925 x 2 - # 5850 10. Find the total depreciation in question 9. (ONE MARK) $ 3850 # 2925 $ 2925 1 1. The cost of a new Honda Accord car is $32 000 plus taxes. The monthly lease payment is $359 plus taxes for 36 months. The security deposit is $750. For leasing a down payment of $3500 is required. After 3 years, there is residual value of 60%. (FIVE MARKS) a) Calculate the monthly payment b) Calculate the total that must be paid at the start of the lease (down payment + security deposit). c) Calculate the total leasing costs 103. Lindsay takes her car to a Manitoba car dealership for servicing. The dealership charges $105.00 per hour for labour. The following items were replaced: four spark plugs for $3.25 each, one air filter for $12.50 each, and one headlight for $30.00. The job took 1.25 hours to complete. Calculate the total cost of the repairs plus taxes. (3 marks) parts Labour 4. Explain why a car insurance policy with a $200 deductible will cost more than a similar policy with a $500 deductible. (1 mark) The cost more to have the option of only paying 200 to make a claim 5. The odometer reads 15 924 km before Seth leaves for a trip. After using 73.2 L of fuel, the odometer reads 16 519 km. Determine the fuel efficiency of his vehicle in L/100 km. (2 marks) 73. 22 X 100 = 0.46 15924 102 X 100 = 0.06 16519BridgES Math Final Assessment Day One: Home Finance, Statistics, and Vehicle Finance 1. Definitions (3 MARKS). Using the word list, write the correct term underneath its definition. Word list: Principal Mortgage Payment Equity Amortization Period Interest Mortgage Term Down Payment/ Gross Debt Service Ratio a) A regular payment usually made up of principal and interest mortgage payment b) The amount of money you will pay to the bank for borrowing money. interest c) Is the portion of the home that the homeowners owns or has paid for. Gross Debt Service Ratio d) The length of time it will take to repay the entire mortgage. mortgage Perm e) The amount of money you need to borrow in order to buy a home; the difference between the selling price and down payment principal f) a cash payment paid prior to buying a home; 20 percent is the recommended amount in Canada Down payment 2.. Find the monthly payments on the following mortgages (TWO MARKS): a) $60,000.00 at 5% over 20 years # 60,000.00 X 6.57 = 8 394.2 1000d) Calculate the residual value (with taxes) e) Calculate the total amount paid if purchased after lease term is over 12. Anakin buys a used car from his friend, Obi-Wan, who is asking $2295. A diagnostic test reveals $650 of engine work to be done. A safety inspection is $40. The book value of the car is $2700. Lien search is $35. What will the car cost Anakin? (FOUR MARKS) cost of car # 2295 PST book value #$2700 x 0.07 = $189 Lien serch #$ 35 sefety $ 20 x 105 = $42 Repairs #650 Diagnostic Test 35x 1. 12 = $ 39, 20 - # 3245. 20