Updated 09.02.2024
If you buy a new car for 30,000 and an old one for 15,000, you probably think that the old car costs 15,000 cheaper.
But the reality is that a car is only worth what it depreciates over the life of it. If you used the car for 5 years and then sold it, then you spent the difference between the purchase and sale prices.
An example
You bought a new car for 30,000, sold it for 15,000, so you spent 15,000 in 5 years.
You bought an old car for 15,000, sold it for 5,000, which means you spent 10,000 in 5 years.
Conclusion
A new car cost more, not 15,000 as it seems at first glance, but 5,000.
Dividing this amount by 60 months (5 years), we get that a new car cost 83 per month more. In addition, lower fuel and repair costs should be subtracted, and higher insurance costs should be added, and you will get an exact amount that will probably surprise you.
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