Assume you are 22 years old and buy a new car every 5 years until you are 72. The car is a $60,000 brand new BMW, Calculate the following and display in an Excel or Word spreadsheet:

1. The cost of this vehicle every five years based on 5% inflation annually, calculated until you are 72.
2. The future value of each purchase price at age 72, based on 6% interest.

The costs do not include the additional costs of financing a car loan. Briefly discuss how these calculations change your perception of purchasing a new car.

Answer rating: 100% (QA)

As per the given information you plan to buy a new car every 5 years till you are 72 years old You n... View the full answer