• 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
• Level: GCSE
• Subject: Maths
• Word count: 2296

# The aim of our coursework is to investigate the effect of different variables on the price of a second hand car.

Extracts from this document...

Introduction

Hugh Williams

Investigation

Aim:

The aim of our coursework is to investigate the effect of different variables on the price of a second hand car. I will try and achieve this aim by setting three hypotheses that I will try to prove or disprove depending on the results of the test data. In order to test the data I will be using sampling techniques to chose a sample that I will be working with throughout the investigation.

Hypotheses

1. I predict that the depreciation of a used car depends on its age. This is because as a car increases in age it becomes less desirable and depreciates more in price. I expect there to be a positive correlation between age and percentage decrease in price.
1. I predict that the price of a used Vauxhall is dependant on engine size. This is because as a car’s engine size increases, the car becomes more desirable and enters higher price brackets. The increase in engine size often leads to an increase in specifications as well which in turn leads to a slower depreciation rate. I expect there to be a negative correlation between engine size and percentage decrease in price.
1. I predict that the price of a used car is dependant on mileage. This is because as the mileage of a car increases, the car becomes less desirable.

Middle

17195

11750

2

5445

31.67

17000

98

Renault 19

11695

2748

6

8947

76.50

52000

17

Mitsubishi Carisma

15800

5999

2

9801

62.03

33000

41

BMW 316i

13650

6995

6

6655

48.75

71000

21

Daewoo Lanos

11225

5999

3

5226

46.56

42000

48

Hyundai Accent

6899

2800

6

4099

59.41

49000

88

Citroen Xantia

14065

2450

8

11615

82.58

49000

90

Peugot 306

12350

3995

6

8355

67.65

71000

In order to prove or disprove my first hypothesis “I predict that the depreciation of a used car depends on its age.” I will be using the stratified selective sample that I have outlined above. The advantage of using a stratified sample is that it minimises the amount of bias in the sample.

 Age Cumulative Frequency 1 0 2 3 3 4 4 6 5 10 6 18 7 21 8 22 9 24 10 24 11 25

The graph shows the effect age has on the percentage decrease in price of a car. The results show that age has a large effect on the prices of second hand cars. With an increase in age the decrease in price as a percentage also increases. For example the Mercedes AvantGarde has a percentage decrease in price of just 31.67% whereas the Fiat Tempra has a decrease of 87.58%. This is due to the fact that the Mercedes is only 2 years old and the Fiat is 6 years old. This is reflected in the graph by a very strong positive correlation between the data. This suggests that the older a car gets, the greater its percentage decrease.

The mean age is 5.72; this was calculated by adding the age values together and dividing by the size of the sample.

The modal age is 6 as this is the age value that occurs most often in the data, eight times in total.

The median age is 6.5 as this is the middle value when the data is arranged in order of size.

The spread of data is 10 as this is the number of different ages in the sample.

 Median Lower Quartile Upper Quartile Interquartile Range 6.5 4.1 6.2 2.1

Conclusion

The mean mileage is 1169000/25 = 46760.

The modal mileage is 49000 as this occurs most often, five times in total.

The median mileage is 49500.

 Mileage Cumulative Frequency 0-10000 0 10001-20000 2 20001-30000 3 30001-40000 7 40001-50000 14 50001-60000 19 60001-70000 21 70001-80000 24 80001-90000 25 90001-100000 25
 Median Lower Quartile Upper Quartile Interquartile Range 49500 39000 59500 20500

From the Box and Whisker diagram we can see that the data is very evenly spread. The inter quartile range is relatively small. This suggests that the data is tightly concentrated around the median.

From the above results I can conclude that my hypothesis was correct. The price of a second hand car depends on its mileage. As the mileage of a second hand car increases, the percentage decrease in price of the car also increases. This can be explained by the fact that as a car’s mileage increases so does its age. As already shown above, age has a large impact on the price of a second hand car. Also as a car’s mileage increases so does the wear and tear on the car. This can lead to expensive repairs and may affect the length of the MOT history.

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

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

1. ## used car coursework

It shows a positive correlation between used car price and engine size. From the graph I can say that as the engine size increases the used car price increases. The equation of the line is: y = 3967.9x - 2476.1 The gradient is 3967.9 and this tells us that every

2. ## Examine how the age of a second hand car affects its price. Also to ...

Although this might not be true in reality this is what was determined from my investigation. The Mercedes make was determined as the most expensive out of the cars. To make this more accurate I should have sampled the whole 100 and calculated the average for each make.

1. ## Statistic coursework-what has the most influence on the price of a second hand car?

In addition, they are all in different groups. The advantage of grouping my data is the data is much easier to handle. However, the downside is I do not know the exact values of each car any more. Therefore, when I have use mean and median, I will not use this grouped data.

2. ## Maths Data Handling-Secondhand Car

I shall now refine my results and calculate average yearly depreciation for specific makes such as Ford or Vauxhall. This graph has a stronger correlation than the overall graph, this is because it has been refined and the average depreciation per year is about 5% per year after the 1st year.

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

Then convenience or judgment sampling is used to select the required number of subjects from each stratum. This differs from stratified sampling, where the stratums are filled by random sampling. As you can see above I have analysed each sampling method to its extreme, and have noticed that since random

2. ## Maths - statistical driving test

Hypothesis 3 Hypothesis three states that on average males make less mistakes than female. This hypothesis will be much more difficult to investigate in comprising to the last two hypothesis as the technique of using a scatter graph will simply not be enough to find evidence to prove or disprove this hypothesis.

1. ## Handling data Used car prices

group; I will need to divide the total number of cars in the group by the total population which is 100 and multiply it by 30. 1000-10999 Miles 7/100 X 30 = 2.1 = 2 Therefore from this group I will take a random sample of 2 cars.

2. ## Used second hand cars

A sample produced in this way is called a stratified sample. * Quota sample: Quota sampling is often used in market research. The interviewer questions a certain number of people. The people have to be of a certain type. They could be of a certain age, sex or social class.

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