question archive Margaret recently purchased a used car from Buckeye Honda for $22,199
Margaret recently purchased a used car from Buckeye Honda for $22,199
Subject:FinancePrice: Bought3
Margaret recently purchased a used car from Buckeye Honda for $22,199. The car cost Buckeye $14,271, and another $4,021 was needed to do the necessary body work and detailing. Margaret drives her car about 15,000 miles a year and has signed up for Buckeye's regular maintenance reminders, explaining that she wants to keep her car running in good order but that she herself has neither the time nor the skill set necessary to do so. These regular maintenance appointments are scheduled for every 7,500 miles and Buckeye's average profit on them is $186. Calculate Margaret's total CLV to Buckeye Honda including the initial purchase and service, assuming a three-year time horizon.
