|
|
|
|
IntelliChoice Value Rating
The chart above shows the purchase price versus ownership cost for each car from a specific vehicle class. The cars with better than average ownership cost/purchase price correlations are the best values, and these best value cars are represented by the dots below the curve. (i.e. the cars that have a lower ownership cost compared to its purchase price.) Those cars, which are worse than average or poor values, appear above the curve.
One way to view the graph is to draw a vertical line through any purchase price. You may see several dots that fall on this line - each of which is a car with a similar purchase price. However, notice the difference in ownership costs of each car represented by the vertical position of the dot. Two cars with the same purchase price can have thousands of dollars difference in ownership costs. This is what separates "good value" cars from "poor value" cars.
What is a good car value?
A "good car value" is one whose cost to own and operate is less than expected. The lower the cost to own and operate a car compared to what is expected, the better the value of that car.
But how do we know a car's "expected cost"?
For each car in the class, IntelliChoice plots the car's purchase price against the total five-year cost to own and operate it as determined by IntelliChoice research. Each dot on the above chart represents a specific car. Generally, we find that as the purchase price of the car increases, the cost to own and operate that car increases. This is why the dots on the graph tend to rise upward and to the right. This phenomenon also makes intuitive sense - as the purchase price rises, financing costs tend to rise, as do insurance, depreciation, taxes, and most other car ownership costs.
This is an important concept. It's normal for car ownership costs to rise as purchase price rises. Therefore, we can't just establish one "average" ownership cost number for each class, since cars in the class have different purchase prices. (This is why the "Relative" shown on each chart is different for cars in the same car class.)
Using statistical techniques, IntelliChoice "connects the dots" to form a curve that defines, for this car class, the relationship between the car's purchase price and car's ownership costs. This curve is our "expected cost" curve. The curve defines, for any car in the class, the five-year ownership cost that we would expect to see at each possible purchase price. If every car in the class were an average value, then all the dots would fall exactly on the curve. However, it's rare that any dot is exactly on the curve. Some dots are a little higher or lower, and some are a lot higher or lower. The dots that are a little lower are better than average car values, while the dots that are a lot lower are excellent car values (A dot that is a lot lower than the curve has ownership costs much lower than expected for a car of its purchase price). Conversely, a dot a little higher than the curve is a poorer than average car value, while a dot that is much higher than the curve is a poor car value.
Value is a relative term, not an absolute term. It is performing better than the logical expectation.
So is a Mercedes-Benz E320 expensive to own and operate? Certainly in an absolute sense. Most other cars cost less. But, when its cost to own and operate is plotted against cars with comparable invoice prices, the E320 costs less. So the E320 is not expensive to own and operate - it is a good car value. The Mercedes does not have low ownership costs, but it has low ownership costs for its invoice price.
|
|
|
|
|
|
|
Article From 4Wheel Drive & Sport Utility Magazine
1994 Jeep Wrangler YJ - Search And Rescue YJA '94 Wrangler Lifesaver / By Phil Howell / photographer: Phil Howell /
Article provided by: 4Wheel Drive & Sport Utility Magazine
When lives are at stake and you need a vehicle to work every time, it pays to have one that's built using the best parts. Masonry contractor Boyd Barney is very active in the Washington County, Utah, Search and Rescue team, both in ground search where his '94 YJ Wrangler serves well, and as High Angle Captain where the Jeep doesn't do much during cliff repels. Boyd put together his Wrangler knowing that it would be working in a number of environments, including pavement, sand, mud, rocks, snow, and ice. He enlisted the help of Stewart at Drivetrain Unlimited in St. George, Utah, to help him build a tough YJ that does exactly that. We've had a chance to drive the Jeep and can report that if you get lost in Washington County, Utah, it's good to know that the county S&R team, including Boyd and his Search and Rescue YJ, are on the job to save your life. SPECIFICATIONS
Vehicle: '94 YJ Wrangler Owner/Hometown: Boyd Barney, Hurricane, UT Engine: 383 Chevrolet V8 Induction: Street & Performance TPI Transmission: GM Turbo 350 automatic Transfer Case/Low-range Ratio: Atlas/4.3:1 Frontend: Dana 44 Rearend: Tera CRD60 Ring-and-Pinion: 4.10 Front Differential: Detroit Locker Suspension: Rubicon Express leaf springs/Bilstein shocks Tires: 37x12.50R17LT Interco TrXus MT Wheels: Mickey Thompson Classic II with TrailReady beadlocks Estimated Value: $30,000  Up front, Drivetrain Unlimited rebuilt a salvage-yard Ford reverse Dana 44 using Warn hardened axles and HD hubs, 4.10 gears, and a Detroit Locker. A Howe steering ram and HD steering gearbox make turning the YJ easy ... even in the rocks. A Currie Enterprises steering-box brace keeps the Howe box on the frame. Boyd installed a M.O.R.E shackle-reversal kit because he likes the way his Wrangler works with it. |  An Atlas transfer case from Advance Adapters sits behind the Turbo 350 automatic tranny. The 4.3:1 Low range is perfect with the relatively high 4.10 gears in the differentials. A TeraFlex Belly Up skidplate/crossmember protects the transfer case and tranny in the rocks. |  The Tera CRD60 uses reverse-cut gears and gets the driveshaft up high for better angles and clearance. It also has as much ground clearance as a Dana 44. |  Drivetrain Unlimited built the strong Chevrolet 383 stroker V8 with tuned port injection from Street & Performance. The V8 is mounted in the YJ using excellent motor mounts from Mountain Off-Road Enterprises (M.O.R.E.). Boyd had quite a time finding a radiator that would do the job in the extreme conditions this YJ sees. Even though there's a Be Cool cap on it, the aluminum radiator Boyd ended up with is from Advance Adapters and keeps the mill running cool in 110-plus degree F southern Utah summer temperatures. Also under the hood is the QuickAIR2 air compressor that supplies the ARB Air Locker, a Howe power-steering reservoir and pump, and an Optima YellowTop sealed battery. |  The Tera CRD60 rearend has 4.10 gears and an ARB Air Locker. Boyd put the air locker in back and the Detroit Locker up front - the correct way to do it, in our opinion. The hubs can be unlocked, and the ARB disengaged on the highway for a completely open Jeep with great highway manners. In the dirt, the ARB can be left on most of the time, and the Detroit Locker up front makes it easy to turn. The only people who say you can't turn with a Detroit up front are those who've never had one there. Drivetrain Unlimited installed the gas-tank skidplate and fabricated the U-bolt flip kit. |  Front and rear CV driveshafts by Tom Wood's Custom Drive Shafts get the power to the frontend and rearend. Here, you can see the backside of the M.O.R.E. shackle reversal. Boyd likes his Rubicon Express leaf packs for their suppleness. Currie Enterprises supplied the U-bolt skidplates. Boyd found four Bilstein gas shock absorbers in a used-parts bin at Drivetrain Unlimited and bolted them on. Bilstein shocks are superb, but these need be valved different for this application. |
... >>next page
| |