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Re: huh? (archive)

[ Follow Ups ] [ 3-series (E46) Message Board ] [ Msg. Board FAQ ]

Posted by Larry in TN on October 05, 1999 at 22:31:39:

In Reply to: huh? posted by MK on October 05, 1999 at 22:26:48:

: Are you saying you would drop $40K on a car instead of using that money instead to invest in stocks or a business, or whatever else?

Yes. Actually, $35k which is what our 323i will cost after tax, title, etc., etc. The money's sitting in the bank right now waiting for the car to arrive.

: Sorry, but I fail to see how dropping $40K at once on something that doesnt return my money back makes sense...

Because your after-tax, risk-adjusted rate of return is less on the investment than the loan will cost.

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