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Read Chapter 12 and view the Power Points.

RESPOND TO THIS QUESTION WITHIN TIME LIMITS.

Read the following scenario:

Brad has just graduated from a local university and earned a degree in Electrical Engineering.  He has been hired by a stable company 50 miles from his one-bedroom apartment.  His rent is $650.00 per month.  Brad’s beginning salary is $75,000.00 annually.

Brad’s parents have supported him throughout college and he is driving a used Toyota which has high mileage, but is running okay.  Brad has earned some spending money by working part-time jobs while in college, but only has about $1,000.00 in savings.

Brad would really like to buy a new or used car.

Q.1 What are some of the major considerations Brad must examine to arrive at the best option for him at this time. Give both advantages and disadvantages of buying a new vehicle vs. buying a used one.

Q2. Why would leasing not be a good option for Brad?

Back up your thoughts and ideas with facts found in the text as well as any outside sources.

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