Module 8 Objectives Upon completion of this module, you will be able to: 1. 2. 3. 4. 5. describe gap insurance and when it is used list advantages and disadvantages of leasing a vehicle explain different types of warranties and extended warranties explain the life cycle hypothesis explain the difference between a manufacturer warranty, a power train warranty, and a comprehensive service contract Define cost per use: Define cost per unit: What does it mean to be upside down? List some advantages and disadvantages of leasing a vehicle: What is gap insurance and how can you avoid needing it? What is the difference between an implied warranty, full warranty, and limited warranty? List some characteristics of extended warranties or service contracts. What is the cooling-off rule? Where should you start if you want to complain about a product? List what takes place for younger, middle age, and older people in the life cycle hypothesis? Summarize the difference between selling a car on your own or trading it in to a dealer when buying a newer car. What is the difference between a manufacturer warranty, a power train warranty, and a comprehensive service contract? How might a person get insurance on a rented car without buying it from the rental company?