Monday, 16 March 2009

Repost: The Jeep Fuel Deal

Here's a repost from back in May, when fuel was an arm and a leg per gallon. I love it when I'm right, I guess. :} I think it's worth noting that highest price in town is around 2.59/gal.
So I'm sitting here, watching the game, and saw one of the Jeep commercials advertising the 2.99 petrol for 12-14,000 miles. Let's assume 20 miles/gal for your jeep, and a price of 4.20.
1/20 gal/mile * 1.21 dollars saved = 0.0605 dollars saved/mile

Lets cancel miles to get dollars saved, so,
14,000 miles/year * 0.0605 dollars saved/mile = 847 dollars saved/year

These deals are only good for 1-3 years. That's 847 dollars saved to 2541 dollars saved.
Compared to the other deals for vehicles I see on the TV, that's crap.

Yet another load of crap revealed to be so by simple dimensional analysis. They need to teach this skill in school. Seriously.

On the other hand, I'd take that deal to somewhere in the bush, flip the fuel at below market and eat profit. Oh, and sell jeep. :p

No comments: