egr 403h 01 chandler hwe michael relich honda fit vs toyota yaris
TRANSCRIPT
EGR 403H 01CHANDLER HWE
MICHAEL RELICH
Honda Fit vs Toyota Yaris
Outline
Honda FitToyota YarisAssumptions5 Year Cost of OwnershipGasoline CostsInsurance RatesMiles Driven Per YearMaintenance CostsLength of OwnershipMaintenance TypeConclusionResources
Honda Fit
2011 ModelMSRP of $1665029/35 MPG City/HighwayInsurance Cost per Year: $1236Salvage Value After 5 years:
$5,336Dealer Maintenance
Toyota Yaris
2011 ModelMSRP of $1677028/35 MPG City/HighwayInsurance Cost per Year: $1304Salvage Value After 5 years: $5,661Dealer Maintenance
Assumptions
15,000 Miles Driven Per Year0% down, 4.59% APR$3.75 per Gallon Gasoline Price$0.10 Raise in Gasoline Price per YearSalvage Value Based Off Kelly Blue Book
Values
Honda Fit
Year Financing Insurance State Fees Fuel Maintenance Repairs Total PV of Total
1 $3,733 $1,236 $110 $1,786 $98 $0 $6,963 $6,760
2 $3,733 $1,236 $73 $1,833 $137 $0 $7,012 $6,610
3 $3,733 $1,236 $73 $1,881 $288 $78 $7,289 $6,670
4 $3,733 $1,236 $68 $1,929 $570 $168 $7,704 $6,845
5 $3,733 $1,236 $68 $1,976 $288 $341 $7,642 $6,592
Totals $33,477
Salvage Value -$5,661.00 -$4,883
Final Cost of Ownership
$28,594
Toyota Yaris
Year Financing Insurance State Fees Fuel Maintenance Repairs Total PV of Total
1 $3,759.96 $1,304 $104 $1,758 $0 $0 $6,926 $6,724
2 $3,759.96 $1,304 $68 $1,805 $24 $0 $6,961 $6,561
3 $3,759.96 $1,304 $68 $1,852 $238 $78 $7,300 $6,680
4 $3,759.96 $1,304 $63 $1,898 $624 $168 $7,817 $6,946
5 $3,759.96 $1,304 $63 $1,945 $238 $341 $7,651 $6,600
Totals $33,511
Salvage Value -$5,366.40 -$4,629
Final Cost of Ownership
$28,882
$2.50 $3.00 $3.50 $4.00 $4.50 $5.00 $5.5024000
25000
26000
27000
28000
29000
30000
31000
32000
Gasoline Prices
YarisFit
Gasoline Price at Purchase
5 Y
ear
Cost
of
Ow
ners
hip
-20% -10% 0% 10% 20% 30% 40% 50%25000
26000
27000
28000
29000
30000
31000
32000
Insurance Rate Increase
YarisFit
Percentage Increase
5 Y
ear
Cost
of
Ow
ners
hip
0 5000 10000 15000 20000 250000
5000
10000
15000
20000
25000
30000
35000
Miles Driven Per Year
YarisFit
Miles Driven
5 Y
ear
Cost
of
Ow
ners
hip
-40%
-20% 0% 20
%40
%60
%80
%10
0%12
0%27000
28000
29000
30000
Maintenance Cost Increase
YarisFit
Percentage Increase
4 Y
ear
Cost
of
Ow
ners
hip
LENGTH OF OWNERSHIP
Cost of Ownership
Time Period Yaris Fit
3 Years $19,082.15 $18,158.16
5 Years $28,881.84 $28,593.92
MAINTENANCE TYPE
5 Year Cost of Ownership
Maintenance Type Yaris Fit
Dealer 5 Years $28,881.84 $28,593.92
Dealer 3 Years/Third Party2 Years $28,549.62 $28,264.74
Conclusions
5 Year Cost of Ownership Honda Fit is Cheaper by about $290
3 Year Cost of Ownership Honda Fit is Cheaper by about $900
Sensitivity Analysis Honda Fit Increase in Cost Over Time
3rd Party Maintenance $5 Difference
Resources
Honda Official Website and Local DealerToyota Official Website and Local DealerFirestone Complete AutocareKelly Blue BookBankrate.comInsure.comCarinsurance.comNewcar.com