Used Vehicle Purchase Concepts

The video tutorial covers the process of purchasing a used vehicle, focusing on calculating both retail and wholesale prices. It explains the factors affecting vehicle cost, such as wear and tear, options, and mileage. The tutorial uses examples to demonstrate how to adjust the average retail and wholesale values based on these factors. It also highlights the difference between retail and wholesale prices, emphasizing the role of the Kelly Blue Book in determining vehicle value. The video concludes with a call to practice these calculations.

What is the first step in purchasing a used vehicle?

• Understanding the deductions

• Choosing the color

• Negotiating the price

• Checking the engine

What is the Kelly Blue Book used for?

• Determining the vehicle's color

• Calculating insurance costs

• Assessing the vehicle's value

• Finding the nearest dealership

Which of the following is added to the average retail value?

• Leather seats

• Wear and tear

• Manual transmission

• Mileage deduction

What is deducted from the retail price if a vehicle has high mileage?

• Color preference

• Engine type

• Option additions

• Mileage deduction

In Samantha's example, what is the deduction for a manual transmission?

• $250

• $220

• $650

• $1,775

What is the starting average retail price for Samantha's vehicle?

• $13,545

• $15,500

• $16,410

• $12,380

In the second example, what is the deduction for mileage?

• $650

• $250

• $1,775

• $175

What is the main difference between retail and wholesale prices?

• Retail is higher than wholesale

• Wholesale includes more options

• Wholesale is for customers only

• Retail is for dealers only

What is the starting wholesale price in the example provided?

• $15,500

• $16,410

• $13,100

• $12,380

What should you expect to receive if you trade in your vehicle?

• Retail price

• Wholesale price

• List price

• Market price