My Wheels
Gary Benson’s Commute
1
Gary Benson just graduated from Northern Illinois
University with a degree in computer graphic design and
has gotten a job with GameTech, Inc., a computer game
development company in the Chicago suburbs.
He’s decided to stay in DeKalb, Illinois where he went to
school and commute to work about an hour each way. He
knows the “beater” he’s been driving for the past four
years is on its last legs and won’t last anytime for daily
commutes so he needs to buy a different vehicle.
What things do you think Gary should take into
consideration when deciding what vehicle to buy?
1. _____________________________________________________________________________________
2. _____________________________________________________________________________________
3. _____________________________________________________________________________________
4. _____________________________________________________________________________________
5. _____________________________________________________________________________________
6. _____________________________________________________________________________________
7. _____________________________________________________________________________________
8. _____________________________________________________________________________________
9. _________________________________________
_________________________________________
10. _________________________________________
_________________________________________
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Gary Benson’s Commute
2
To get from his apartment in DeKalb, Illinois to work in the suburbs each day is a 45 mile drive
with some heavy traffic. Gary knows it will take about an hour each way. He’s been looking for a
different vehicle on the internet and has found six he is interested in that he can see at dealer lots
in the area. Explain what you think is good and bad about each of his choices.
A new motorcycle for $9,995
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A four year old jeep with 48,689 miles for $16,795
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A thirty-four year old classic VW Beetle Convertible for $9,795 (mileage unknown)
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Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Gary Benson’s Commute
3
A new gas/electric hybrid for $24,495
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A two year old pickup with 21,453 miles for $14,495
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A three year old SUV with 57,839 miles for $13,895
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Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Gary Benson’s Commute
4
Gary is trying to estimate his monthly costs to own each of the six vehicles. Complete the
following table to help him make a decision. Consider only the information given.
Round dollar answers to the nearest cent and gallon answers to the nearest gallon.
A ....
$ 9,995.00
C ....
103.00
E ....
700.00
G ....
36
$16,795.00
$ 9,795.00
$24,495.00
$14,495.00
$13,895.00
B . . . . ___________
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D . . . . ___________
___________
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F . . . . ___________
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524.92
302.61
761.14
452.36
435.37
H ....
309.56
J ....
1,592.00
L ....
3.00
143.00
1,000.00
48
143.00
900.00
36
143.00
1,500.00
60
143.00
900.00
48
143.00
800.00
48
I . . . . . ___________
___________
___________
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K . . . . ___________
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2,180
2,180
2,180
2,180
2,180
2,180
O . . . . ___________
___________
___________
___________
___________
___________
M ....
N ....
70
P . . . . ___________
2,360.00
3.00
19
___________
2,960.00
3.00
30
___________
2,706.00
3.00
48
___________
3,050.00
3.00
17
___________
A = Price
I = Total Credit Cost [ (H x G) + E ]
C = License & Title
K = Monthly Insurance Cost (J / 12)
B = Sales Tax (A x 6.25%)
D = Total Cost (A+B+C)
E = Trade-In Allowance
F = Amount Financed (D-E)
G = Number of Monthly Payments
H = Monthly Payment
Name: ____________________________________
2,625.00
3.00
20
___________
J = Annual Insurance Premium
L = Price of a Gallon of Gasoline
M = Average Miles Driven Per Month
N = Gas Mileage
O = Monthly Gasoline Cost [ (M / N) x L ]
P = Total Monthly Vehicle Cost (H + K + O)
Class: _______________________ Period: ____
My Wheels
Gary Benson’s Commute
5
Rank the six vehicles Gary is considering from best choice (1) to worst choice (6) and
explain your ranking.
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____
____
____
____
(1) _____________________________________________________________________________________
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(2) _____________________________________________________________________________________
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(3) _____________________________________________________________________________________
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(4) _____________________________________________________________________________________
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(5) _____________________________________________________________________________________
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(6) _____________________________________________________________________________________
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Do you think there is a better alternative for Gary? Explain
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Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
What Should She Do?
6
When you’re deciding how much you can afford to spend on a vehicle, there are a lot of questions you should ask
yourself:
• How much income do you have?
• Can you count on your income being steady?
• What other living expenses do you have to budget for?
• How much will it cost to own the vehicle?
Monthly payments
Insurance
Maintenance and repairs
Gasoline
Parking
License and other vehicle taxes
• Is a vehicle transportation to you or a status symbol?
• Do you need a certain type of vehicle?
An economy car for commuting
A pickup for work or hauling
A van or SUV for a big family
• Are you willing to be in debt and are you able to get a
loan?
• Do you want to buy or lease?
• How much disposable income do you want each month
for having fun or buying things you just want?
Sharon is a sophomore at Western Community College where she is studying to be
a paralegal. She is still living with her parents and plans to live with them at least
one more year before moving out. She has been sharing the two family cars, but is
ready to buy a car of her own.
Read each scenario and write questions you think she should ask herself.
Scenario 1: Sharon has decided to save for a “beater” that she can get for a couple of thousand dollars.
She plans on putting $175 a month from her part-time job in a savings account. In a year she’ll have
$2,100. Then she can pay cash for a cheap used car.
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Scenario 2: Sharon has decided to ask her parents to co-sign a three year, $9,000 loan on a good used car that she
plans to drive until she is working full-time and can buy a new one.
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Scenario 3: Sharon has decided to buy an inexpensive new car. She plans on getting a five year loan from her bank
or financing from the dealer, whichever will charge the lowest interest rate and give her the best repayment terms.
She is going to ask her parents to co-sign the loan.
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_________________________________________________________________________________________
_________________________________________________________________________________________
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
What Should She Do?
7
Sharon has been looking at used vehicles on the dealer lots around town and has found several she is
interested in. To help her determine the quality of the vehicles, she’s made copies of a used vehicle
evaluation form she found in a magazine.
You complete the evaluation form by listing 25 things you think Sharon should check
out on the vehicles before she decides to buy.
Used Vehicle Evaluation Form
Make: _____________________
Model: _____________________ Year: ________________
Dealer Price: $_____________ Book Price: $_______________
Condition: _____________
Items to Check:
1. __________________________________________________________
2. __________________________________________________________
3. __________________________________________________________
4. __________________________________________________________
5. __________________________________________________________
6. __________________________________________________________
7. __________________________________________________________
8. __________________________________________________________
9. __________________________________________________________
10. __________________________________________________________
11. __________________________________________________________
12. __________________________________________________________
13. __________________________________________________________
14. __________________________________________________________
15. __________________________________________________________
16. __________________________________________________________
17. __________________________________________________________
18. __________________________________________________________
19. __________________________________________________________
20. __________________________________________________________
21. __________________________________________________________
22. __________________________________________________________
23. __________________________________________________________
24. __________________________________________________________
25. __________________________________________________________
Name: ____________________________________
Poor
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Ave Good
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Excl
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Class: _______________________ Period: ____
My Wheels
Leasing vs. Buying
8
After looking at used cars, Sharon has decided to buy a new subcompact car and
her parents have agreed to co-sign the loan contract.
Use the line by line instructions on the following page to complete the
worksheet below and calculate Sharon’s costs to finance the car.
1.
2.
3.
4.
5.
Purchase Worksheet
Price .............................................. 14,799.00
Documentation Fee ......................
40.00
LAH Premium ..............................
0.00
Sales Tax (5.75%) ......................... _______
License and Title..........................
165.00
6. Trade-In ........................................
7. Down Payment .............................
8. Rebate ...........................................
0.00
0.00
500.00
9. Amount Financed ......................... _____ _
________
-________
________
(Total Cost)
(Total Down)
(Amount Financed)
10. Term of the Loan .......................... 48 Months
11. Monthly Payments of ...................
367.61
12. Total of Payments......................... ______
13. Total Credit Cost .......................... ______
14. True Annual Interest Rate .........
7.0%
15. Finance Charge ............................ ______
What are the advantages of buying a new car rather than a used car?
_________________________________________________________________________________________
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_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Purchase Worksheet Instructions
9
1. Line 1 is the price the dealer is willing to sell the car for which is $500 less than the
manufacturer’s suggested retail price (MSRP) of $15,299.
2. Line 2 is a fee that the dealership charges the customer for paperwork on the vehicle.
3. Line 3 is the premium for life, accident and health insurance if Sharon wants it. This
insurance will cover her payments if she is unable to make them because of her death or
the inability to work because of sickness or accident. She has declined this insurance.
4. Line 4 is the sales tax where the purchase took place. It is calculated in the following
way: (Selling Price + Doc Fee) x .0575
5. Line 5 is the cost of license and title for the car.
Line 5 also lists the Total Cost of the car which is the sum of lines 1-5.
6. Line 6 is the value of the trade-in (Sharon has none).
7. Line 7 is for any additional down payment that is made (Sharon is making none).
8. Line 8 is a manufacturers rebate that was given on the car.
Line 8 also lists the Total Down which is the sum of lines 6-8.
9. Line 9 is the Amount Financed (Total Cost - Total Down).
10. Line 10 is the term of the loan which in this case is 48 months (4 years).
11. Line 11 is the Monthly Payment.*
12. Line 12 is the Total of Payments. This is calculated by multiplying the monthly payment (line
11) by the number of payments (line 10).
13. Line 13 is the Total Credit Cost. This is calculated by adding the Total Down to the Total of
Payments.
14. Line 14 is the Annual Percentage Rate. Sharon is financing the car through the dealer for
four years because they are offering a lower rate of interest than her bank.
15. Line 15 is the Finance Charge**. This is calculated by subtracting the Amount Financed from
the Total of Payments.
* The monthly payments are amortized which means that part of each payment covers the current interest on the
unpaid balance with the remainder being applied to the principle owed. Because this is a difficult calculation,
financial calculators and computers are normally used. This is why the monthly payment has been given in line 11.
** The method being used to calculate the finance charge is the simple interest method (interest on the unpaid balance).
Using the simple interest method, you're only charged finance charges on the unpaid balance you owe at the time you make
each payment. To calculate the finance charge using the simple interest method, the monthly payment must first be
calculated.
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Leasing vs. Buying
10
Leasing new vehicles has became as common as buying them. But few people
actually understand what they're paying for when they lease a vehicle or how
the costs are calculated.
The lease worksheet below is an example of the actual costs Sharon would
pay if she decided to lease the car rather than buy it.
Use the line by line directions on the following page to complete the
worksheet.
Lease Worksheet
1. Price .............................................. 14,799.00
2. Documentation Fee ......................
40.00
3. Acquisition Fee .............................
400.00
4. LAH Premium ..............................
0.00
5. Sales Tax (5.75%) ......................... _______
6. License and Title..........................
165.00
7. Trade-In ........................................
8. Down Payment .............................
9. Rebate ...........................................
0.00
0.00
500.00
10. Net Capitalization Cost ............... _______
_______
(Gross Capitalization Cost)
-_______
(Capitalization Reduction)
_______
(Net Capitalization Cost)
11. Term of the Lease.......................... 48 Months
12. Adjusted Residual......................... _______
13. Total Term Depreciation .............. _______
14. Monthly Lease Payment ..............
271.74
15. Total of Payments ........................ _______
16. Total Initial Payment .................. _______
Would you buy the car or lease it? Why?
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
________________________________________________________________________________________
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Leasing Worksheet Instructions
11
1. Line 1 is the price the dealer is willing to sell the car for which is $500 less that the
manufacturer’s suggested retail price (MSRP) of $15,299.
2. Line 2 is a fee that the dealership charges the customer for paperwork they must complete
on the car.
3. Line 3 is a fee that includes charges added by the manufacturer and the lessor.
4. Line 4 is the premium for life, accident and health insurance if Sharon wants it. This
insurance will cover her lease payments if she is unable to make them because of her death
or the inability to work because of sickness or accident. She has declined this insurance.
5. Line 5 is the sales tax where the car was leased. It is calculated in the following way:
(Selling Price + Doc Fee) x .0575
6. Line 6 is the cost of license and title for the car.
Line 6 also lists the Gross Capitalization Cost which is the sum of lines 1-6.
7. Line 7 is the value of the trade-in (Sharon has none).
8. Line 8 is for any additional down payment that is made.
9. Line 9 is a manufacturers rebate that was given on the car.
Line 9 also lists the Capitalization Reduction which is the sum of lines 7-9.
10. Line 10 is the Net Capitalization Cost of the car.
Gross Capitalization Cost - Capitalization Reduction = Net Capitalization Cost
11. Line 11 is the term of the lease which in this case is 48 months.
12. Line 12 is the Adjusted Residual which is the value of the car at the end of the lease and the
amount she would have to pay if she wanted to buy the car when the lease was up. This is
calculated by multiplying the Manufacturers Suggested Retail Price (MSRP) for the car
($15,299) by the residual factor of 40%. The residual factor is determined by the lessor and
based on the term of the lease and the resale value of similar cars in the used car market.
13. Line 13 is the Total Term Depreciation and is calculated by subtracting the Adjusted Residual
from the Net Capitalization Cost. This is the amount you're actually financing when
you lease a car.
14. Line 14 is the Monthly Lease Payment which is determined by the lessor based on current
interest rates.
15. Line 15 is Sharon’s Total of Payments: $271.74 x 48 = Total of Payments.
16. Line 16 is Sharon’s Total Initial Payment. This is the amount she must be prepared to pay up
front when she leases the car or is credited to her (i.e. rebate). This initial payment includes
the following:
1.
2.
3.
4.
1st Monthly Payment
Security Deposit = the monthly payment rounded to the next higher $25
Trade-In
Rebate
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Ask Andy
12
Andy Lendman writes a syndicated column called Ask Andy which is published daily in over
200 newspapers. In the column, he answers questions and gives advice about personal finance.
As a member of Andy’s staff, you've been asked to answer the following question sent in
by a reader.
Dear Andy:
I've just graduated from college and gotten my first full time job. The car I've been
driving is over ten years old and barely running. I've been shopping for a new one,
but how do I decide whether to buy or lease?
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________________________________
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________________________
Letters
_______________________
_______________________
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Living Today
13
You're a writer for the TV series Living Today. You've been assigned the job of writing an outline
for an upcoming episode titled "Don't Be Confused, When You Buy Used". The thirty minute
program will be divided into these three segments:
1. How to find a good used vehicle.
2. How to evaluate a used vehicle.
3. How to make the best deal on a used vehicle.
Episode Outline:
Segment 1: How to find a good used vehicle.
LIVING TODAY
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Don't Be Confused,
Segment 2: How to evaluate a used vehicle.
When You Buy Used
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Segment 3: How to make the best deal on a used vehicle.
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________________________________________________________________________________________
________________________________________________________________________________________
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Living Today
14
You're a writer for the TV series Living Today and you've written an outline for an upcoming
episode titled "Don't Be Confused, When You Buy Used". The thirty minute program will be
divided into these three segments:
1. How to find a good used vehicle.
2. How to evaluate a used vehicle.
3. How to make the best deal on a used vehicle.
You’re now working on a story board of one of the three segments to be used by the director and
crew to shoot the video.
Sketch the video on the left (the quality of the drawing is not important) and write the dialog on
the right.
Video
Dialog
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Video
Dialog
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Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Living Today
Video
15
Dialog
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Video
Dialog
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Video
Dialog
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Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Living Today
16
You're a writer for the TV series Living Today. You've been assigned the job of writing an outline
for an upcoming episode titled "Be Careful What You Do, When You Buy New". The thirty
minute program will be divided into these three segments:
1. How to choose the best new vehicle for you.
2. Shopping around.
3. How to make the best deal on a new vehicle.
Episode Outline:
Segment 1: How to choose the best new vehicle for you.
LIVING TODAY
__________________________________________________________
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Be Careful What You Do,
Segment 2: Shopping around.
When You’re Buying New
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________________________________________________________________________________________
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________________________________________________________________________________________
Segment 3: How to make the best deal on a new vehicle.
________________________________________________________________________________________
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________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Living Today
17
You're a writer for the TV series Living Today. You've been assigned the job of writing an
outline for an upcoming episode titled "Be Careful What You Do, When You’re Buying New".
The thirty minute program will be divided into these three segments:
1. How to choose the best new vehicle for you.
2. Shopping around.
3. How to make the best deal on a new vehicle.
You’re now working on a story board of one of the three segments to be used by the director and
crew to shoot the video.
Sketch the video on the left (the quality of the drawing is not important) and write the dialog on
the right.
Video
Dialog
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Video
Dialog
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Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Living Today
Video
18
Dialog
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Video
Dialog
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Video
Dialog
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Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Living Today
19
You're a writer for the TV series Living Today. You've been assigned the job of writing an outline
for an upcoming episode titled "More Than A Monthly Payment". The thirty minute program
will be divided into these three segments which discuss the costs of owning a vehicle:
1. Getting covered.
2. Fill ‘er up.
3. It will cost how much to fix!?
Episode Outline:
Segment 1: Getting covered.
LIVING TODAY
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__________________________________________________________
More Than A
Segment 2: Fill ‘er up.
Monthly Payment
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________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
Segment 3: It will cost how much to fix!
________________________________________________________________________________________
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________________________________________________________________________________________
________________________________________________________________________________________
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Living Today
20
You're a writer for the TV series Living Today. You've been assigned the job of writing an
outline for an upcoming episode titled "More Than A Monthly Payment". The thirty minute
program will be divided into these three segments which discuss the costs of owning a vehicle:
1. Getting covered.
2. Fill ‘er up.
3. It will cost how much to fix!
You’re now working on a story board of one of the three segments to be used by the director and
crew to shoot the video.
Sketch the video on the left (the quality of the drawing is not important) and write the dialog on
the right.
Video
Dialog
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_________________________
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Video
Dialog
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Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Living Today
Video
21
Dialog
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Video
Dialog
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Video
Dialog
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Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Getting Covered
22
For each of the following situations, choose
the auto insurance coverage that would be
used from the list on the following page.
1. Tracy Howard hit a telephone pole. She was injured and her car was
damaged. Which two coverages will she use?
____________
2. After a storm, Larry Johnson found that a tree had fallen on his car. Which
coverage will he use to repair the damage?
____________
3. Mary Cooper was struck by a hit-and-run driver while jogging. Which
coverages will she use to help pay her medical expenses?
____________
4. Jack Radke hit a parked car while backing into a parking space. Both cars
were damaged. Which two coverages will he use to pay for the damages?
____________
5. Debby Doerner is a high school senior. She bought an inexpensive used car
to drive to school with money she earned during the summer. To keep her
insurance premiums down, which two coverages should she not carry?
____________
6. Steve Findrick's car was stolen from the school parking lot. Which coverage
will pay for the car?
____________
7. Marian Wick ran a stop light and hit a pedestrian. Which coverage will help
pay for the pedestrian's medical expenses?
____________
8. Bruce Zahn tried to pass in a no passing zone and had a head on collision.
He and the other driver were injured and both cars were totalled. Which
coverages will he use?
____________
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Auto Insurance Coverages
23
1. Bodily Injury Liability
covers injuries to others when the policyholder is at fault in an accident. The coverage
entitles the policyholder to legal defense by the insurance company and the payment of damages up to the limit of liability
purchased. Damages could include medical expenses, loss-of-income, pain and suffering, and permanent injury.
Two numbers will be shown on your policy for bodily injury liability coverage (i.e. 250/500). The first is the amount the policy will
pay toward claims by one person ($250,000) and the second is the total amount the policy will pay per accident no matter how
many people make claims ($500,000).
2. Property Damage Liability covers damage to the property of others if the policyholder is at fault in an accident.
The amount of coverage will be shown as the third liability number on the policy (i.e. 250/500/100). The coverage entitles the
policyholder to legal defense by the insurance company and the payment of damages up to the limit of liability purchased
(i.e.$100,000).
Most states require a minimum amount of liability insurance before you can register your vehicle. This is to protect other drivers
from your negligence.
If you're unable to buy liability coverage because of a poor driving record, you'll be placed in a state's assigned risk insurance pool
and be assigned to an insurance company. You'll then be able to buy the minimum amount of liability coverage required by law,
but the premium will be very high.
3. Collision covers damages to the policyholder's vehicle as a result of a collision with another vehicle or object or if
the vehicle turns over. Payment is made regardless of who is at fault. The coverage includes a deductible which requires
the policyholder to assume a portion of the cost of the damage. Common deductibles are $100, $250, and $500.
The insurance company has the option of either paying the cost of the repairs less the deductible or the actual cash value of
the vehicle. It may not be economical to buy collision coverage because of this option if the value of the vehicle is small. For a
substantially higher premium, coverage is available which will replace the vehicle rather than paying the actual cash value.
4. Comprehensive Physical Damage covers
damage to the policyholder's vehicle in situations other than
collisions such as fire, theft, and vandalism. The coverage may include a deductible which requires the policyholder to
assume a portion of the cost of the damage. Common deductibles are $50, $100, and $250.
The insurance company has the option of either paying the cost of repairs less the deductible (if there is one) or the actual cash
value of the vehicle. It may not be economical to buy comprehensive coverage because of this option if the value of your vehicle is
small. For a substantially higher premium, coverage is available which will replace the policyholder's vehicle rather than paying
the actual cash value.
5. Medical Payments covers the reasonable medical expenses of the policyholder and the policyholder's family in the
following situations:
1. If they're injured while riding in their vehicle.
2. If they're injured while riding in someone else's vehicle.
3. If they're struck by a vehicle while walking or riding a bicycle.
It will also cover guests riding in the policyholder's vehicle. The coverage pays regardless of who is at fault.
6. Personal Injury Protection (PIP)
is mandatory in states with No-Fault insurance. PIP is actually a
broader form of medical payments. It covers medical expenses, funeral costs, loss of income, and the costs of in-home
assistance regardless of who is at fault. It covers the policyholder and the policyholder's family.
7. Uninsured and Underinsured Motorist (Bodily Injury) covers the reasonable medical expenses of
the policyholder and the policyholder's family if they're injured by a hit-and-run driver, an uninsured motorist, or an underinsured
motorist. It will cover them while riding in their vehicle or if they're struck by a vehicle while walking or riding a bicycle. It will
also cover guests riding in the policyholder's vehicle.
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Michelle’s Auto Insurance
24
The chart below lists the coverages and semi-annual premiums for the insurance on Michelle
Donnelly's compact car.
Use the information on the chart to answer the questions at the bottom of the page.
Consolidated Mutual Insurance
A) 500/500 Bodily Injury Liability..............................................................................
B) 100 Property Damage Liability .............................................................................
C) $10,000 Medical Payments ....................................................................................
D) 500/500 Uninsured and Underinsured Motorist Bodily Injury...........................
E) $50 Deductible Comprehensive .............................................................................
F) $250 Deductible Collision.......................................................................................
$ 328.40
184.60
42.75
15.00
171.25
655.50
Total Semi-Annual Premium $___________
1. What is the total six month premium on the car? $_______________
2. Michelle has a part-time job to help pay for her car expenses. How much will she have to set
aside from each bi-weekly paycheck (26 pay periods) to pay her premium ? $ _______________
If her take-home pay is $140, what percentage will be used for insurance? Round to the
nearest 1/10th percent. __________%
3. Since Michelle borrowed the money from her bank to buy the car, what two coverages will they
require that she carry?
(1) _______________________________________ (2) _______________________________________
4. If she paid cash for the car, she could have excluded these two coverages. How much would she
have saved every six months? $ _______________ Would she want to exclude these coverages?
Yes: ___ No: ___ Why? ________________________________________________________________
5. What two coverages does the state require her to carry to protect other people?
1) _______________________________________ (2) ________________________________________
What percentage of her total six month premium is the premium for these two coverages?
Round to the nearest 1/10th percent. _______________ %
6. List two factors that could raise her premiums.
(1) ____________________________________________________________________________________
(2) ____________________________________________________________________________________
7. List two ways she could decrease her premium and keep the same coverages.
(1) ____________________________________________________________________________________
(2) ____________________________________________________________________________________
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
The Porter’s Auto Insurance
25
The chart below lists the coverages and semi-annual premiums for Kevin and Anne Porter's auto
insurance policy.
Use the information on the chart to answer the questions at the bottom of the page.
American Mutual Insurance Company
A) 500/500 Bodily Injury Liability ................................................................................ $190.50
B) 100 Property Damage Liability................................................................................. 106.50
C) $10,000 Medical Payments........................................................................................
24.75
D) 500/500 Uninsured and Underinsured Motorist Bodily Injury .............................
15.00
E) $ 50 Deductible Comprehensive ..............................................................................
99.00
F) $250 Deductible Collision ......................................................................................... 379.50
Total Semi-Annual Premium $ __________
1. What is the total semi-annual premium on the car? $ _______________
2. What is the total yearly premium on the car? $ _______________
3. What percentage of the total semi-annual premium is each of the following coverages? (Divide
the premium for each coverage by the total semi-annual premium and round to the nearest
1/10th percent.
Bodily Injury Liability ..........................................................
%
Property Damage Liability ...................................................
%
Uninsured and Underinsured Motorist Bodily Injury........
%
Medical Payments .................................................................
Comprehensive ......................................................................
Collision .................................................................................
%
%
%
4. Kevin Porter ran a stop sign and hit another car. For each of the following, enter the letter
(A, B, C, D, E, F) of the coverage that would be used and the amount it would pay.
Damage to their car of $2,527.49 . . . . . . . . . . . . . . . . . . Coverage: _____ $
Kevin's medical expenses of $1,435.92 . . . . . . . . . . . . . . Coverage: _____ $
The other driver's medical expenses of $3,486.52 . . . . . Coverage: _____ $
Damage to the other car of $5,876.23 . . . . . . . . . . . . . . . Coverage: _____ $
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Gary Field’s Auto Insurance
26
The chart below lists the coverages and semi-annual premiums for Gary Field's auto insurance
policy. He is 17, the primary driver of his car and does not have the best driving record.
Use the information on the chart to answer the questions at the bottom of the page.
Continental Insurance Company
A) 100/300 Bodily Injury Liability ............................................................................ $ 490.70
B) 100 Property Damage Liability .............................................................................
274.30
C) $10,000 Medical Payments ....................................................................................
63.75
D) 100/300 Uninsured and Underinsured Motorist Bodily Injury...........................
15.00
E) $100 Deductible Comprehensive ...........................................................................
255.00
F) $500 Deductible Collision.......................................................................................
977.50
Total Semi-Annual Premium $
1. What is the total semi-annual premium on the car? $
2. What is the total yearly premium on the car? $
_____
__
____
3. What percentage of the total semi-annual premium is Gary's liability coverage?
(Divide the premium for the coverages by the total semi-annual premium and round to the nearest 1/10th %.)
______ %
4. What percentage of the total semi-annual premium is Gary's collision coverage?
%
For the same six month period, Gary's parents paid $307.10 for the same coverages on their
car. How much more did Gary pay than his parents?
$
____
Gary's semi-annual premium was what percent of his parent's premium?
%
(Divide Gary's premium by his parent's premium. Round to the nearest 1/10th percent.)
5. Which two coverages are designed to pay for damage to Gary's car?. . . . (1) _____
6. Which two coverages are designed to help pay for Gary's injuries?. . . . . (1) _____
7. Which two coverages are designed to protect others?. . . . . . . . . . . . . . . . (1) _____
(2) _____
(2) _____
(2) _____
8. If Gary turned his car over on a turn and did $3,468.48 in damage, how much would the
insurance company pay?
$
_
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Drive Defensively
27
You've been hired by the Continental Insurance Company to create a poster to be
distributed to all high schools in the country. The theme of the poster is "Drive
Defensively".
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Drive Defensively
28
You've been hired by the Continental Insurance Company to write a thirty second radio
commercial on the theme “Drive Defensively”. It will be directed at high school students
and played on rock stations around the country.
Sponsor: Continental Insurance
Topic: Drive Defensively
Station: FM 97X - The Rock
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
________________________________________________________________________________________
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
The Think Tank - A Student Driving Survey
29
Your think tank team is going to make a survey of student drivers sixteen to eighteen
years old and complete a report on your findings.
1. As a team, determine a subject for your survey related to student driving. For example:
1. Types of cars owned
2. How do they pay for their cars
3. Driving records
4. Types of insurance coverage carried (liability, collision, comprehensive, etc.)
5. Size of insurance premiums
6. How car expenses are paid (gas, oil, tires, repairs, insurance, etc)
2. As a team, develop a series of survey questions that will help you gather the statistics you
need to explain your findings.
3. Determine the size of your sample and designate the number of students that each team
member should survey.
4. Designate one or more team members to develop charts and graphs illustrating your findings.
5. Designate one or more team members to write a report summarizing your findings.
6. Designate one or more members to present your findings to the class.
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
How To Fix A Flat
30
Write a set of step-by-step instructions describing how to change a flat tire for a person
who has never changed a tire before.
____________________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Glafka’s Semi-Annual Tire Sale
Tire Size
P185/70R13
P195/60R14
P205/75R14
P195/70R14
P225/60R14
P195/60R15
P205/60R15
P225/60R15
P215/60R15
P215/65R15
P195/50R15
P205/50R15
P225/60R16
P225/50R16
P245/50R16
Retail Price
$ 69.00
$ 77.99
$ 62.99
$ 73.99
$ 91.99
$ 82.99
$ 90.99
$ 96.99
$ 87.99
$ 85.99
$126.99
$133.99
$139.99
$149.00
$167.99
Sale Price
$ 62.10
$ 71.40
$ 51.99
$ 63.99
$ 84.99
$ 77.99
$ 82.69
$ 85.79
$ 77.50
$ 76.99
$120.00
$123.89
$124.99
$135.99
$149.99
Use the sale prices above to compute the total costs at the
bottom of the page. Sales tax is 6.25%. Round all answers to
the nearest cent. Then compute the percentage discount for
each tire.
ITEM
P215/60R15
QUANTITY
4
SALE
PRICE
$19.38
_______
______
1
_______
P195/60R15
4
P205/50R15
2
P245/50R16
P225/60R15
2
4
2
$329.38*
______
_______
_______
______
_______
_______
______
_______
_______
TOTALS
SALES
TAX
TOTAL
$310.00
P225/50R16
P185/70R13
_______
_______
______
______
_______
_______
_______
_______
_______
GLAFKA'S TIRE CITY, INC.
* $77.50 X 4 = $310.00
** $69.00 - $62.10 = $6.90
31
$310.00 X .0625 = $19.38
$6.90 / $69.00 = 10.0%
$310.00 + $19.38 = $329.38
Name: ____________________________________
Tire Size
%
Discount
P185/70R13
10.0%**
P195/60R14
_______
P195/70R14
_______
P205/75R14
P225/60R14
P195/60R15
_______
_______
_______
P205/60R15
_______
P215/60R15
_______
P225/60R15
_______
P215/65R15
_______
P205/50R15
_______
P195/50R15
P225/60R16
P225/50R16
P245/50R16
_______
_______
_______
_______
Class: _______________________ Period: ____
My Wheels
Daily Gazette Opinion Page
32
The state legislature is considering a bill that would require proof of high school
graduation or age 18 as the minimum requirement for obtaining a driver's license.
Write a letter to the editor explaining why you think the legislature should
pass or reject the bill.
I think the legislature should pass this bill because:
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
Graduate
To
Drive!
____________________________________________________________________________
__________________________________________________________________________
__________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
I think the legislature should reject this bill because:
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Daily Gazette Opinion Page
33
Congress is considering a bill that would ban all vehicles with gasoline engines after
2020.
Write a letter to the editor explaining why you think Congress should pass
or reject the bill.
I think Congress should pass this bill because:
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
Ban
Gasoline
Engines
____________________________________________________________________________
__________________________________________________________________________
__________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
I think Congress should reject this bill because:
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
_________________________________________________________________________________________
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Gasoline Prices
The chart below compares the prices of regular unleaded gasoline on June 26th in 2001, 2006
and 2007 in the 50 states and District of Columbia.
Compute the percentage change in price from June 26, 2006 to June 26, 2007. Round
answers to the nearest 1/10th%. Alaska is done for you as an example.
$3.14 - $3.01 = $ .13
$3.09
$ .13 / $3.01 = .04318 = 4.3%
06/26
2001
06/26
2006
06/26
2007
%
Change
West Coast
Alaska............... $1.63
$3.01
$3.14
4.3%
California .......... $1.43
$3.18
$3.19
State
34
Arizona ............. $1.30
Hawaii............... $1.92
Nevada ............. $1.37
Oregon ............. $1.49
$2.89
$3.40
$3.00
$2.98
Washington ...... $1.48
$3.06
Colorado........... $1.24
Montana ........... $1.43
Rocky Mountain
Idaho ................ $1.45
Utah.................. $1.36
Wyoming .......... $1.33
Gulf Coast
$2.97
_______
$3.41
_______
$3.14
$3.08
_______
_______
_______
$3.11
_______
$2.83
$3.16
_______
$2.82
$3.14
_______
$2.90
$2.90
$2.78
$3.16
$3.18
_______
_______
$3.10
_______
Alabama ........... $1.13
$2.71
$2.86
_______
Louisiana .......... $1.14
$2.73
$2.88
_______
Arkansas........... $1.11
Mississippi ........ $1.12
New Mexico...... $1.23
$2.68
$2.71
$2.94
$2.86
$3.12
$3.21
_______
_______
_______
Texas ................ $1.11
$2.78
$2.89
_______
Iowa.................. $1.13
$2.72
$2.93
_______
Midwest
Illinois ............... $1.21
$2.96
$3.15
_______
Kansas ............. $1.12
$2.75
$2.95
_______
Indiana.............. $1.11
Kentucky........... $1.14
Michigan ........... $1.16
$2.79
$2.75
$2.85
$2.93
$2.92
$3.04
_______
_______
_______
Name: ____________________________________
06/26
2001
06/26
2006
06/26
2007
%
Change
Minnesota......... $1.18
$2.83
$2.92
_______
North Dakota ....
$2.83
$3.05
_______
State
Missouri ............ $1.05
$1.24
Nebraska .......... $1.10
$2.68
$2.80
$3.06
$2.67
$2.87
Ohio.................. $1.12
$2.76
South Dakota ... $1.21
$2.82
Oklahoma ......... $1.07
Tennessee ........ $1.11
$2.85
$2.68
_______
_______
$2.88
_______
$3.08
_______
$2.85
_______
_______
Wisconsin ......... $1.22
$2.93
$3.06
Connecticut ...... $1.32
$3.11
$3.20
_______
Delaware .......... $1.13
$2.95
$2.87
_______
Georgia............. $1.02
$2.76
$2.88
_______
Maryland........... $1.20
$2.97
$2.95
_______
$2.91
_______
East Coast
DC .................... $1.36
Florida .............. $1.19
$3.11
$3.11
$2.82
$2.94
$2.96
$2.95
Maine................ $1.24
$2.76
$2.99
$1.24
$2.87
$2.92
Massachusetts .
$1.23
North Carolina .. $1.13
New Hampshire
$2.76
New Jersey ...... $1.13
$2.89
Pennsylvania .... $1.14
$2.81
South Carolina .
$2.62
New York .......... $1.33
Rhode Island .... $1.26
$1.06
Virginia ............. $1.09
Vermont ............ $1.29
West Virginia ....
$1.22
_______
_______
_______
_______
_______
$2.84
_______
$2.95
_______
$2.78
_______
$3.05
$3.17
$2.97
$2.94
$2.79
$2.84
$2.82
$2.97
$2.85
_______
$2.99
_______
_______
_______
_______
_______
Class: _______________________ Period: ____
My Wheels
Gasoline Prices
35
1. List several factors that affect the retail price of gasoline in the United States.
1. __________________________________________________________________________________
2. __________________________________________________________________________________
3. __________________________________________________________________________________
4. __________________________________________________________________________________
5. __________________________________________________________________________________
6. __________________________________________________________________________________
7. __________________________________________________________________________________
8. __________________________________________________________________________________
9. __________________________________________________________________________________
10. __________________________________________________________________________________
2. Why do you think there is such a variation in gasoline prices from region to region,
state to state and city to city?
______________________________________________________________________________________
______________________________________________________________________________________
______________________________________________________________________________________
______________________________________________________________________________________
______________________________________________________________________________________
______________________________________________________________________________________
3. As a driver and car owner, what can you do to lower the amount you have to pay for
gasoline?
______________________________________________________________________________________
______________________________________________________________________________________
______________________________________________________________________________________
______________________________________________________________________________________
______________________________________________________________________________________
______________________________________________________________________________________
______________________________________________________________________________________
______________________________________________________________________________________
______________________________________________________________________________________
______________________________________________________________________________________
______________________________________________________________________________________
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
You Decide
36
The rising price of gasoline is affecting people in different ways. Here are four real life situations. After reading
each one, explain what you believe the people should do as they try to adjust to the rising price of gasoline.
1) Bill Martin
Bill lives and works in the same small town. He drives an SUV that gets 18 miles to the gallon,
but it’s paid for.
______________________________________________________________
$3.09
______________________________________________________________
______________________________________________________________
______________________________________________________________
______________________________________________________________
______________________________________________________________________________
2) Aaron Wright
Aaron will graduate from college in May and has accepted an engineering job 20 minutes drive from his apartment. He
has been driving an old car his parents gave him while he’s been in school and is anxious to buy his first new car.
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
3) Moesha Carlson
Moesha lives in Rock Island, Illinois and drives 110 miles round trip each day to her job as a bank branch manager in
Sterling, Illinois. Her husband works in Rock Island and they have one child in 2nd grade and one preschooler. She
drives a car that gets 28 miles to the gallon and has two years of payments to make.
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
You Decide
37
4) Rachel Cartwright
Rachel is single and lives and works in Augusta, Georgia. She’s ready to buy her first new car and wants to go all
electric. She’s searched the internet hoping to find an electric car that has a range of 75-100 miles on a full charge; has
a maximum speed of at least 55 mph and is reasonably priced. Unfortunately, she can’t find what she wants.
What she is considering is the EL2. Here are the specs.
Suggested Retail Price: $14,995.
Range: 65 miles fully charged
Top Speed: 45 miles per hour
Passenger Load: 2
Cargo Space: Limited
Do you think Rachel should buy an EL2? What do you think are the advantages and disadvantages in each of the
following situations:
1) Driving to work in Augusta.
2) Driving outside of Augusta.
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
The World’s Greatest Commuter Car
38
The President has challenged the nation’s automotive designers to create the World’s Greatest Commuter Car. It
must be affordable, (for millions of people who drive over thirty minutes to work in the United States each day)
practical, fuel efficient (to decrease our dependence on foreign oil), safe and offer as many features as possible to make
their time spent in the car enjoyable and productive.
On the following page(s), draw your designs. In the space below, number and explain the features of the
car and place corresponding numbers on your designs.
____
____________________________________________________________________________________________________
____
____________________________________________________________________________________________________
____
____
____
____
____
____
____
____
____
____
____
____
____
____
____
____
____
____
____
____
____
____
____
____
____
____
____
____
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
____________________________________________________________________________________________________
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Name: ____________________________________
The World’s Greatest Commuter Car
39
Class: _______________________ Period: ____
My Wheels
Assessment - True or False
1
Place a T before each true statement and an F before each false statement.
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Vehicles tend to appreciate in value.
Leasing a vehicle is more like renting than buying.
You can buy a vehicle at the end of a lease for its residual value.
The longer the term of a car loan, the smaller the payments.
Automobile liability coverage normally has a deductible.
You do not have to pay sales tax when you buy a vehicle.
You can't get a new car loan for more than 4 years.
The longer the term of a car loan, the larger the finance charge.
Collision coverage normally has a deductible.
Lease payments are actually paying the depreciation on a vehicle.
You should carefully evaluate a used vehicle before you buy it.
The Annual Percentage Rate should be used to compare the cost of car loans.
Most people make their car payments monthly.
Gasoline prices vary from state to state and city to city in the United States.
For young people (16-24), insurance is a small portion of the cost of car ownership.
The demand for and supply of oil is the major factor in the cost of gasoline.
If you cause an injury and have liability coverage, your insurance will pay the total
amount no matter what the cost.
You can finance a new vehicle at the dealership where you buy it.
You must pay sales tax when you lease a vehicle.
An car insurance deductible is the portion of a loss the policyholder must pay.
Name: ____________________________________
Class: _______________________ Period: ____
My Wheels
Assessment - Math Problems
2
Solve each of the following problems. Consider only the information given.
1. The price of a used car was $8,500 Sales tax was 5%. What was the cash
price? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
_______________
2. The cash price of a used car was $6,884.70. With a $1,000 down payment,
the dealer financed the car for $149.88 a month for 48 months. What was
the finance charge? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
_______________
3. The manufacturer's suggested retail price of a new SUV was $26,800. The
residual value of the vehicle after a three year lease was 52% of the MSRP.
How much did the vehicle depreciate during the lease? . . . . . . . . . . . . . . .
_______________
4. The price of a new hybrid car is $24,499. The documentation fee is $40,
license and title is $168, and sales tax is 6%. The buyer has been given a
$6,500 trade-in allowance on his old car and will finance the new car for 5
years. The monthly payment will be $380.21. Compute each of the
following.
Amount Financed . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
_______________
Finance Charge . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
_______________
Total of Payments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
_______________
Total Credit Cost . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
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5. A commuter drives 2,480 miles a month in a car that gets 25 miles to the
gallon. If the price of gasoline is $3.15 a gallon, what is the monthly cost of
gasoline? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Name: ____________________________________
_______________
Class: _______________________ Period: ____
My Wheels
Assessment - Multiple Choice
3
Read each of the situations and determine which insurance coverage or coverages
would pay for the expense listed. There can be more than one answer or no answer.
A. Bodily Injury Liability
B. Property Damage Liability
C. Collision
D. Comprehensive Physical Damage
E. Medical Payments
F. Uninsured and Underinsured Motorist Bodily Injury
1. Carl Watson turned his car over on a curve. Which coverage will pay for
each of the following?
(1) Carl's car damages . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(2) Carl's medical expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(3) Carl's loss of income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(1) A B C D E F
(2) A B C D E F
(3) A B C D E F
2. Sharon Sanders ran a stop sign and hit a car driven by Veronica Jones.
Which coverage will pay for each of the following?
(1) Sharon's medical expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(2) Sharon's car damage . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(3) Veronica's medical expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(4) Veronica's car damage . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(1)
(2)
(3)
(4)
3. Hildegard Gath was leaving work and found that her car had been hit
in the parking lot. What coverage will pay for the damages? . . . . . . . .
(1) A B C D E F
4. Terry Newhouse lost control of his car and drove through the front of a
store. Which coverage will pay for each of the following?
(1) The damage to the store . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(2) Terry's medical expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(3) Terry's car damages . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(4) A store clerk's medical expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(1)
(2)
(3)
(4)
5. Berry Johnson left his house and found that his car had been
vandalized. Which coverage will pay for the damages to the car?
(1) A B C D E F
6. Valerie Hays was struck by a hit-and-run driver while jogging. What
coverage will pay for her medical expenses? . . . . . . . . . . . . . . . . . . . . .
Name: ____________________________________
A
A
A
A
A
A
A
A
B
B
B
B
B
B
B
B
C
C
C
C
C
C
C
C
D
D
D
D
D
D
D
D
E
E
E
E
E
E
E
E
F
F
F
F
F
F
F
F
(1) A B C D E F
Class: _______________________ Period: ____