Question

Jim wants to buy a car, but he’ll probably only need it for a couple of years. He has a short commute to work, so he won’t be putting many miles on his vehicle. What’s the best transportation option for Jim?
A.Use his savings to buy the car in full
B.Buy the car using an auto loan
C.Lease the car
D.Take public transportation

Answer 1

B) Buy the car using auto loan

Answer 2

C)Lease the car. Jim should buy the car and lease it. This will be also an income generating activity. Due to short distance to commute work Jim should use public transport which would be rather economical as compared to fueling the car which is rather costly. The income generated from the leased car should be put i a saving account for future investments

vic