Final answer:
To choose the car with the lowest cost of ownership, consider factors like fuel efficiency, purchase price, maintenance costs, and potential resale value.
Step-by-step explanation:
To choose the car with the lowest cost of ownership, you need to consider factors like fuel efficiency, purchase price, maintenance costs, and potential resale value. Let's look at the example provided where two cars with similar mileage, exterior appearances, and age are priced at $4,000 and $4,600. In this case, Marvin should buy the car that costs $4,000 because it has a lower purchase price.
However, evaluating the lowest cost of ownership requires looking beyond just the purchase price. Other costs to consider are fuel efficiency, maintenance and repair costs, insurance costs, and potential resale value. For example, a car that has better fuel efficiency might have lower fuel costs in the long run, which could offset a higher purchase price.
In summary, to determine the car with the lowest cost of ownership, it's important to consider factors like purchase price, fuel efficiency, maintenance costs, insurance costs, and potential resale value.