10. Chris Evans drives 300 miles per week in his Honda Civic that gets 22 miles per gallon of gas. He is considering buying a new fuel-efficient car for $20,000 (after trade-in of your Honda Civic)
that gets 50 miles per gallon. Insurance premiums for the new car and old care are $900 and
$500 per year respectively. If he decides to keep his car, he will need to spend $1200 on repairs
per year. Assume gas costs $3.50 per gallon over a 5-year period.
what is the cost of the old car?
a.
b. what is the cost of the new car?