Question

Case 3 Julia Price wants to drive a BMW It has been almost 15 years since...

Case 3
Julia Price wants to drive a BMW
It has been almost 15 years since Julia graduated with a major in aeronautical engineering, and now she makes "buckets of money" working as a project manager for a large defense contracting company. While she is not very thrifty, she does like a good deal, especially on expensive purchases. Julia recently compared new models of the BMW 4-Series, Jaguar F-type, Audi A7, and Infiniti Q50. She checked out reviews in Consumer Reports and other magazines and test drove each vehicle. After deciding on the BMW, Julia shopped online for dealers beyond her community. Julia thinks that she will save about $3,800 if she buys her car and an extended warranty on it from a dealer located 40 miles from her home instead of her hometown seller. She is not sure whether she should take advantage of the dealer's 3 percent financing versus a $4000 rebate, take the rebate and get a 6 percent loan from a nearby credit union, or lease the vehicle. Offer your opinions about her thinking.

please have a 150 word answer!

Homework Answers

Answer #1

Julia Price needs to analyse the provided scenario of buying a BMW Car from the financial and non-financialaspects:

Financial aspects:

Julia will be able to save the cost by investing in the BMW car as the Net Cost of purchase is - $3,800 which is lower than leasing option or car loan option inspite of the rebate.

Non-Financial aspects:

1. Julia is able save time in travelling, if she buys immediately.

2. Julia already has a high paying job and the required amount readily available to invest in the BMW Car.

3. The credit risk is nullified by the purchase of the car.

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT