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The chart compares transportation options.




What is a main disadvantage of leasing a vehicle compared to buying a vehicle?

A) the up-front cost
B) the monthly payments
C) the length of payments
D) the cost of insurance and gas

The chart compares transportation options What is a main disadvantage of leasing a vehicle compared to buying a vehicle A the upfront cost B the monthly payment class=

Respuesta :

alinakincsem

Answer:

The answer is A) The up-front cost

Explanation:

  • Let us compare the monthly payment costs of option A ( Buy new) and option B (lease new)

$336 x 60 = 20,160$

$229 x 36 = 8,244 $

So when comparing this option B (lease new) is more feasible.

  • When comparing up-front cost, Option A is at more advantage than option B which is more costly.
  • When comparing Insurance and gas cost,both option A and option B have the same costs

Thus up-front cost is the only main disadvantage of leasing a vehicle compared to buying a vehicle.

osondumartins

Answer: A) The up-front cost

Explanation: The upfront cost is the amount of money expected to be paid before the vehicle is released to be leased or bought.

As seen in the table presented Option B has a very high Upfront cost of $3925 compared to $2500 of Option A and $2000 of Option C.

The leased vehicle is not yours you are only leasing it for a given period of time as compared to the Option A and Option B that ensures the car finally becomes yours after completion of the payment.

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