how to use total cost of ownership
the purchase of a car is one example where cost comparison matters total cost of ownership of a car is not just the purchase price but also the expenses incurred through its use such as repairs insurance and fuel 1the total cost of ownership analysis can be especially important when comparing a used car to a new car a used car that appears to be a great bargain actually might have a total cost of ownership that is higher than that of a new car if the used car requires numerous repairs while the new car has a three year warranty that could cover repair charges in the automotive industry leading consumer resource kelley blue book provides buyers with details on total cost of ownership this industry analysis is provided for various vehicles and includes a variety of expenses such as fuel insurance repairs and depreciation 