DOUBLE CAB LIGHT PICKUP TRUCK

Model 1 – Ford Ranger 2.2L XLT 4WD 6MT

Model 3 – Isuzu D-Max 1.9L Turbo 4x4 MT-P

i. 10% Deposit

Deposit = 10% × Selling price

Model 1 Model 3
Price RM 108,659.60 RM 109,069.50
Deposit RM 10,865.96 RM 11,069.50

ii. Annual Vehicle Instalment Cost

(90% 𝑏𝑎𝑙𝑎𝑛𝑐𝑒 ×𝑖𝑛𝑡𝑒𝑟𝑒𝑠𝑡 ×3 𝑦𝑒𝑎𝑟𝑠) + 90% 𝑏𝑎𝑙𝑎𝑛𝑐𝑒

Monthly car instalment =
3 × 12 𝑚𝑜𝑛𝑡ℎ𝑠

Annual car instalment = monthly car instalment × 12 months

Model 1 Model 3
Price RM 108,659.60 RM 109,069.50
Deposit RM 10,865.96 RM 11,069.50
90% balance RM 97,793.64 RM 98,000.00
Interest 2.8% 2.8%
Monthly instalment RM 2,944.68 RM 2,798.44
Annual instalment RM 35,336.16 RM 33,581.28
iii. Annual Vehicle Service Cost

Annual working days = 5 days/week × 52 weeks per year = 260 days/year

Annual distance covered = 100 km/day × 260 days/year = 26,000 km/year

Odometer Model 1 Model 2 Model 3

reading (km)

1st year 1000

5000 RM 239.00
10000 RM 219.00 RM 99.60
15000 RM 218.00 RM 133.07
20000 RM 205.00 RM 287.83
25000 RM 159.00
RM 1,040.00 RM 520.50
2nd year 30000 RM 150.00 RM 235.07
35000 RM 239.00
40000 RM 110.00 RM 862.95
45000 RM 159.00 RM 133.07
50000 RM 419.00
RM 1,077.00 RM 1,231.09
3rd year 55000 RM 502.00
60000 RM 218.00 RM 492.90
65000 RM 113.00
70000 RM 239.00
75000 RM 110.00 RM 133.07
RM 1.182.00 RM 625.97
iv. Annual Fuel Cost

Latest diesel price = RM 2.18 per litre

Annual fuel consumption = Fuel consumption × 26,000 km/year
Annual fuel cost = Annual fuel consumption × RM 2.18

Model 1 Model 3
Fuel consumption 9.9 L/100 km 8.0 L/100 km
(L/100km)
Annual fuel 2,574 L 2,080 L
consumption (L)
Annual fuel cost RM 5,611.32 RM 4,534.40

v. Resale Value After 3 Years

𝑛𝑒𝑤 𝑝𝑟𝑖𝑐𝑒 𝑖𝑛 2017 – 𝑢𝑠𝑒𝑑 𝑝𝑟𝑖𝑐𝑒 𝑜𝑓 𝑚𝑜𝑑𝑒𝑙 2017 𝑖𝑛 2019

Depreciation percentage = × 100
𝑛𝑒𝑤 𝑝𝑟𝑖𝑐𝑒 𝑖𝑛 2017

Resale value after 3 years = new price in 2019 × (100% - depreciation percentage)

Model 1 Model 3
New price in 2017 RM 101,888.00 RM 106,320.10
Used price in 2019 - RM 82,800.00 RM 76,800.00
1
Used price in 2019 - RM 82,300.00 RM 73,500.00
2
Used price in 2019 - RM 80,200.00 RM 74,100.00
3
Average used price in RM 81,766.67 RM 66,800.00
2019
Depreciation 19.75% 28.08%
percentage
 Model 1 Model 3
New price in 2019 RM 108,659.60 RM 109,069.50

Expected resale RM 87,199.33 RM 78,442.78

value after 3 years

vi. Summary

Model 1 Model 3
Deposit, Po RM 10,865.96 RM 11,069.50
Annual vehicle RM 35,336.16 RM 33,581.28
instalment cost,
Aloan
Service cost year 1, RM 1,040.00 RM 520.50
Fservice1
Service cost year 2, RM 1,077.00 RM 1,231.09
Fservice2
Service cost year 3, RM 1.182.00 RM 625.97
Fservice3
Annual fuel cost, RM 5,611.32 RM 4,534.40
Apetrol
Resale value after 3 RM 87,199.33 RM 78,442.78
years, Fresale
 vii. Cash-Flow Diagram

Model 1 - (Ford Ranger 2.2L XLT 4WD 6MT)

RM 87,199.33

0 1 2 3

(Deposit) RM 10,865.96 RM 35,336.16 RM 35,336.16 RM 35,336.16

RM 1,040.00 RM 1,077.00 RM 1.182.00

RM 5,611.32 RM 5,611.32 RM 5,611.32

 Model 3 - Isuzu D-Max 1.9L Turbo 4x4 MT-P

RM 78,442.78

0 1 2 3

(Deposit) RM 11,069.50 RM 33,581.28 RM 33,581.28 RM 33,581.28

RM 520.50 RM 1231.09 RM 625.97

RM 4534.40 RM 4534.40 RM 4534.40

viii. Nett-Present Worth Analysis

Compound interest rate = 2.8% ≈ 3%

Coefficient value from Table:

(P/A, 3%, 3) 2.8286
(P/F, 3%, 1) 0.9709
(P/F, 3%, 2) 0.9426
(P/F, 3%, 3) 0.9151

NPW = – Deposit – [annual vehicle instalment cost, Aloan (P/A, 3%, 3)] –
[service cost year 1, Fservice1 (P/F, 3%, 1)] – [service cost year 2, Fservice2 (P/F,
3%, 2)] – [service cost year 3, Fservice3 (P/F, 3%, 3)] – [annual fuel cost, Adiesel
(P/A, 3%, 3)] + [resale value after 3 years, Fresale (P/F, 3%, 3)]

Model 1 Model 3
Deposit, Po -RM 10,865.96 - RM 11,069.50
Annual vehicle -RM 99,951.86 -RM 94,988.01
instalment cost, Aloan
(P/A,3%,3)
Service cost year 1, -RM 1,009.74 -RM 505.35
Fservice1 (P/F,3%,1)
Service cost year 2, -RM 1,015.18 -RM 1,160.43
Fservice2 (P/F,3%,2)
Service cost year 3, -RM 1,081.65 -RM 572.82
Fservice3 (P/F,3%,3)
Annual fuel cost, -RM 15,872.18 -RM 12,826.00
Apetrol (P/A,3%,3)
Resale value after 3 RM 79,796.11 RM 71,782.99
years,
Fresale (P/F, 3%, 3)
NPW -RM 50,000.46 -RM 49,339.12