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12 September, 13:59

An advertisement in the local paper offers a "fully loaded" car that is only six months old and has only been driven 5,000 miles at a price that is 20 percent lower than the average selling price of a brand new car with the same options. Use precise economic terminology to explain whether this discount most likely reflects a "fantastic deal" or something else.

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  1. 12 September, 14:21
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    The discount represents most possibly a "Fantastic deal".

    Explanation:

    In the given advertisement the car is sold at a price that is 20 percent lower than the average selling price of a brand new car with the same options such as it is "fully loaded", 6 months old and had been driven 5,000 miles.

    This is said to be a conditional phrase initiated by the seller, and it is acceptable as the offer seems to be an excellent deal or a fantastic deal for any person who is willing to buy a second-hand car in a good condition i. e, selling a car as in ('as is' refers to selling the car with all the known and unknown issues)
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