Worked examples / Buying something
A $14,000 used car expected to last eight years, against a $32,000 new one kept twelve years and sold for $5,000.
A used car costs $2,742 a year. A new one costs $2,750 a year.
This is a worked example with illustrative figures, not data about any real person or company. Change any of them in the calculator and the answer changes with them.
How this answer was worked out| Used, per year | $14,000 / (8 x 95%) + $900 = $2,742 |
| New, per year | ($32,000 - $5,000) / 12 + $500 = $2,750 |
| Difference a year | $7.89 |
| Most the used price can be | ($2,750 - $900) x 8 x 95% = $14,060 |
Every formula is written out on the formulas page.
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