• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month
Page
  1. 1
    1
  2. 2
    2
  3. 3
    3
  4. 4
    4
  5. 5
    5
  6. 6
    6
  7. 7
    7
  8. 8
    8
  9. 9
    9
  10. 10
    10
  • Level: GCSE
  • Subject: Maths
  • Word count: 4965

I predict that all the cars that I have chosen at random will have similar attributes, but in detail they will be completely different and therefore not comparable.

Extracts from this document...

Introduction

Xavier H Keenan 148

Stowe School

Maths Coursework

Mathematics Statistics Coursework

Winter 2002 - Used Car Prices

Introduction:

I am going to investigate what influences prices of second hand cars, and look into how car prices depreciate and what causes this. I am examining 55 randomly chosen cars taken from the supplied list and from ‘Auto Trader’ magazine, which I supplied. I am going to examine the relationship in the sample between the age, mileage and price. I am going to narrow down the in 3 stages from all cars to only 1998 Ford Fiestas. From this, I will draw the conclusions from the examination about how the price decreases and what affects this.

Section 1 – Random Cars

Hypothesis 1:

I predict that all the cars that I have chosen at random will have similar attributes, but in detail they will be completely different and therefore not comparable. I predict:

  • The older a car is, the more miles it would have been driven.
  • The more miles it has been driven, the less it costs.
  • As the vehicle ages, it will be worth less.

Data Collection 1:

I have chosen to use the make and model of each car, because that is vital to know what car is being bought/sold or examined. I also chose the year it was first registered, because I want to prove that the older a car is, the more miles it will have been driven. So the mileage is important too. Little things could be used too, but I think that it is not worth including every little detail, and so I did not choose the minor things, like air conditioning, central locking, colour, electric windows… etc. These minor characteristics will all affect the final second hand price of a used car, but the make, model, mileage and year are the main determinants.

...read more.

Middle

Data Representation 2:

Scatter Graph 4 - Price against Mileage

If you look at the graph, you can see that there is a medium strong negative correlation. We can see that as the mileage decreases, the prices declines with it. It has one anomaly, which is the ‘Mondeo Ghia’. It still agrees with my hypothesis that the older a car is, the more miles it has been driven. These results are quite scattered and they are quite poor results.

Scatter Graph 5 – Price against Year

If you look at the graph, you can see that there is a medium strong positive correlation. We can see that as the year decreases, the price declines with it i.e. the older the car, the cheaper it gets. It is still a little anomalous, with the largest as the ‘Mondeo Ghia’ and another anomaly being the ‘Sierra Sapphire’. This graph also agrees with my earlier prediction that as the car ages the less money it costs.

Scatter Graph 6 – Mileage against Year

If you look at the graph, you can see that there is a very strong negative correlation. We can see that as the year decreases, the mileage increases with it i.e. the older the car, the more miles it has been driven. There are no anomalies, but the overall results are not very tight they are very spread. This graph also agrees with my hypothesis, that as the as the car ages, the more miles it has been driven.

Pie Chart 2 – Ford Models

If you look at the pie chart, it shows the model of Fords in proportion of the 30 Fords in my sample. In order to get the best accuracy from the sample, I will choose the model of Fords with the largest representation. We can see that Ford Fiestas are the most popular with 40%.

...read more.

Conclusion

We can see this effect, on graph 2 in section 1. Where the deviation above the line of best fit is greater than the deviation below the line.


Overall Conclusion and Summary:

  • From all of my data, I can conclude that cars taken at random cannot be statistically compared, because the variations caused by the make, model, mileage, and date of first registration are generally too great.
  • As a vehicle gets older, the price decreases with inverse proportion. The biggest decrease in age is when it’s nearly new, but the rate of price decrease gets less as the car ages. (See graph 8a)
  • For cars of the same year, the more miles a car has been driven, the lower its price becomes (See graph 10)
  • As the sample of cars becomes more selective, we can see that all the results then become more accurate and tighter to the best-fit line.
  • Using mainly the cumulative frequency graphs (and graph 2), I can conclude that from the latter results, that the cars above average price have a wider range of prices than cars of below the average price.

Limitations:

  • The main reason I only used 20 Ford Fiestas from 1998 was because there was only 21 Ford Fiestas in the ‘Auto Trader’ magazine.
  • My sample size was quite small, because
  • I didn’t look at the condition of the car (e.g. if a builder used it to carry bricks, or if it was for weddings, the condition would be quite different!)
  • I didn’t take into account the extra’s that could affect the final price of the car, like air conditioning, colour, central locking…etc
  • Some scatter graphs have best fit lines as curves, but I only showed this on one (8a)
  • The sample size becomes smaller and therefore less reliable, as the types of cars gets narrowed down

...read more.

This student written piece of work is one of many that can be found in our GCSE Gary's (and other) Car Sales section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related GCSE Gary's (and other) Car Sales essays

  1. Used Cards - find which factors will influence the price of a second hand ...

    The standard deviation of the user car price is; s = ?(X-x) 2 n s = 1022834768 � 30 s = 5839.048918 s = 5839.05 (2.d.p) I also worked out the standard deviation for the mileage; here is what I did to get the standard deviation; s = ?(X-x)

  2. T-Total Maths

    19 12 11 10 2 18 11 10 9 1 17 5 X 16 = 80 -73 = 7 FORMULA = 5N - 7 GRID 9 T NUMBER T TOTAL 18 83 17 78 16 73 15 68 14 63 13 58 12 53 Numbers inside T shape 18 17

  1. Maths Coursework - Used Cars

    8595 2495 1.4 33000 6 70.97149506 Rover Metro 6645 895 1.1 43000 7 86.53122649 Rover 214i 9565 1700 1.4 55000 8 82.22686879 Rover 623GSi 24086 2975 2.3 96000 5 87.64842647 Rover Club 19530 14999 1.8 2000 1 23.20020481 Rover 623 GSi 24086 2975 2.3 96000 6 87.64842647 Rover Metro 5495

  2. Maths - statistical driving test

    I will plot a scatter graph of all the data that I obtain and then plot a separate scatter graph based on my stratified sample of students. If my hypothesis is correct I expect to see negative correlation in all the scatter graphs.

  1. Maths Coursework:Used Cars

    project although it may not be for the engine size because the size of the engine is not an ageing factor (it does not increase or decrease per year).

  2. Legal and Ethical Analysis of Ford Pinto

    The key legal question in this case, is whether the design led to the creation of an unreasonably dangerous product. During Pinto's initial design phase, there were no regulatory standards on fuel system design. The proposed standards initially promulgated by the NHTSA in 1969 called for limitations of fuel leakage in 20-mph moving barrier rear impact collisions.

  1. Maths Coursework: Car Sales

    that will show the 'product moment correlation coefficient', which will decide whether it is a perfect positive/negative relationship. To find the formula for the depreciation rate, I need to draw graphs, and etc and then come up with some ideas for the formula.

  2. Used car prices.

    The following histogram is to show the mileage data. I will now take the same steps into consideration as before. I shall now investigate the mileage of another make of car. I will be examining Fiat. The following table shows the data on Fiat cars only: Frequency table to show

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work