In: Finance
Tariq's short-term goal is to purchase a car, but his current situation does not provide the means. Which of the following choices would most likely provide the greatest longer-term benefit with the least risk and the lowest explicit cost?
Borrow a car |
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Lease a car |
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Get a car loan |
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Save for a car |
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Buy a car anyway |
Since Tariq's current situation does not provide the means to purchase the car, buying the car is not an option for him.
Borrowing a car may not provide the greatest long term benefit as it has inherent risks too.
Leasing a car does not have the lowest explicit cost.
A car loan may not provide the greatest long term benefit as the car is a depreciating asset.
Answer is Save for a car