Cost benefit analysis is ,like, sooo boring.
Much better to pay $400+ per month on a payment so you can save $50 a month in gass right?
Compare the cost of a ten year old civic to a new Pius, i mean Prius (or any hybrid for that matter) and you will see with the aid of arithmetic the true reason for the choice to buy a Prius.
I'll give you a clue. It's the same reason that surveys show the majority of solar panels on houses appear on the STREET side of the home, not the SUN side.
It's also the same reason only the upper middle class or wealthy neighborhoods can afford either a hybrid or solar panels.
The appearance of being green is more important than actually being environmentally responsible.
And it takes either a lot if disposable income or unwillingness to do 5th grade math to afford to make that fashion statement.
The guy driving a older economy car who keeps the thermostat down a couple degrees in winter does much more for the planet than the Visa card hippy who has a Prius as his third car.
Just for fun, do a five year cost benefit analysis comparing a $6,000 Land Cruiser to a $30,000 Prius.
Include reasonable
costs.
Depreciation.
Loan interest.
Registration.
Insurance.
And fuel.
Here.
I did this math for a friend when the subject came up. It's a couple years old and reflects what I paid for my land cruiser. Which now has 205,000 miles on it and still purring. And a very conservative estimate on a cost of a new Prius.
Like I said, fifth grade math.
Mileage comp.
10,000 miles at 12 mpg times $3.50 per gallon is $2,916.66 per year. $243 per month in gas.
10,000 miles at 50 mpg times $3.50 per gallon is $700 per year. $58.33 per month in gas.
$2216 cheaper in gas! 185 per month.
Prius is $25,000. $471.78 per month at 5% interest over 5 years.
It is $286.78 cheaper per month to drive a paid off, $4,000 Land cruiser than a new Prius. That's $3,441.36 per year saved.
NOT including the increased yearly registration fees (appx $300 per year) and increased insurance payments ( Appx 600 per year).
(My land cruiser costs $30 per year to register and $50 per month to insure.)
The Prius will cost $3300 in interest alone. Almost as much as the purchase price of the used land cruiser.
Not including the fact that after 5 years and 50,000 miles the Prius will be worth half as much, at best, due to depreciation.
Yearly payment - fuel costs difference is $3,441
Yearly registration difference is appx $300
Yearly insurance difference is appx $300
Yearly total is appx $4,041
Over 5 years is $20,205
Plus $3,300 interest.
Plus $13,000 in depreciation.
Total extra cost of driving a Prius over five years is
$36,505
( to be fair, this does not calculate any extra maintience costs of the Land Cruiser. Over the last year mine has cost about $400 including oil changes. It is 19 years old and has 174,000 miles on it. )
Depredation of $13,000 on a Prius.
Depreciation of what? Zero on a land cruiser?
Buying pre-owned also is the best form of recycling, re-using. It does not require the usage or manufacture or environmental impact of a new car.
Sent via Psychic Ninja Powers!
That's what I sent my friend.
Feel free to tweak some numbers to personal taste, such as miles driven per year. 10,000 was the number he was thinking so that's what I went with. But even if you do increase the mileage remember to decrease the resale value too.
Go ahead and do the math at whatever reasonable mileage you like.
Soap box done.
Just please apply reason to problems such as the environment or economics instead of emotion, the world will be a much better place.
Much better to pay $400+ per month on a payment so you can save $50 a month in gass right?
Compare the cost of a ten year old civic to a new Pius, i mean Prius (or any hybrid for that matter) and you will see with the aid of arithmetic the true reason for the choice to buy a Prius.
I'll give you a clue. It's the same reason that surveys show the majority of solar panels on houses appear on the STREET side of the home, not the SUN side.
It's also the same reason only the upper middle class or wealthy neighborhoods can afford either a hybrid or solar panels.
The appearance of being green is more important than actually being environmentally responsible.
And it takes either a lot if disposable income or unwillingness to do 5th grade math to afford to make that fashion statement.
The guy driving a older economy car who keeps the thermostat down a couple degrees in winter does much more for the planet than the Visa card hippy who has a Prius as his third car.
Just for fun, do a five year cost benefit analysis comparing a $6,000 Land Cruiser to a $30,000 Prius.
Include reasonable
costs.
Depreciation.
Loan interest.
Registration.
Insurance.
And fuel.
Here.
I did this math for a friend when the subject came up. It's a couple years old and reflects what I paid for my land cruiser. Which now has 205,000 miles on it and still purring. And a very conservative estimate on a cost of a new Prius.
Like I said, fifth grade math.
Mileage comp.
10,000 miles at 12 mpg times $3.50 per gallon is $2,916.66 per year. $243 per month in gas.
10,000 miles at 50 mpg times $3.50 per gallon is $700 per year. $58.33 per month in gas.
$2216 cheaper in gas! 185 per month.
Prius is $25,000. $471.78 per month at 5% interest over 5 years.
It is $286.78 cheaper per month to drive a paid off, $4,000 Land cruiser than a new Prius. That's $3,441.36 per year saved.
NOT including the increased yearly registration fees (appx $300 per year) and increased insurance payments ( Appx 600 per year).
(My land cruiser costs $30 per year to register and $50 per month to insure.)
The Prius will cost $3300 in interest alone. Almost as much as the purchase price of the used land cruiser.
Not including the fact that after 5 years and 50,000 miles the Prius will be worth half as much, at best, due to depreciation.
Yearly payment - fuel costs difference is $3,441
Yearly registration difference is appx $300
Yearly insurance difference is appx $300
Yearly total is appx $4,041
Over 5 years is $20,205
Plus $3,300 interest.
Plus $13,000 in depreciation.
Total extra cost of driving a Prius over five years is
$36,505
( to be fair, this does not calculate any extra maintience costs of the Land Cruiser. Over the last year mine has cost about $400 including oil changes. It is 19 years old and has 174,000 miles on it. )
Depredation of $13,000 on a Prius.
Depreciation of what? Zero on a land cruiser?
Buying pre-owned also is the best form of recycling, re-using. It does not require the usage or manufacture or environmental impact of a new car.
Sent via Psychic Ninja Powers!
That's what I sent my friend.
Feel free to tweak some numbers to personal taste, such as miles driven per year. 10,000 was the number he was thinking so that's what I went with. But even if you do increase the mileage remember to decrease the resale value too.
Go ahead and do the math at whatever reasonable mileage you like.
Soap box done.
Just please apply reason to problems such as the environment or economics instead of emotion, the world will be a much better place.
