4. Read through the two scenarios and make sure that everyone in the class understands the terminology in the worksheet.
Note: Depending on your class you may wish to talk them through the calculation of the costs associated with borrowing for Car B – the original loan of €2,500 will cost Emma €560 (or €3,060 in total) – €85 × 36 months.
5. Ask each pair to discuss and agree upon whether Emma should buy a car now or in September and which car they think that Emma should buy. Explain that there is no right or wrong answer, but each pair must decide on the best solutions for Emma and give reasons for their decisions.
6. Take feedback from a selection of students.
7. Tell students to imagine that time has moved on and it is one year later. Emma has had some bad luck. She has been made part-time in her job because the business wasn’t doing so well. Her salary has been cut by almost one-third.
Note: The issue of debt is covered in Section 3: Lesson 13.
8. Ask each pair to discuss the implications of Emma’s original car choice on the options she has available to her now.
9. Take feedback from a sample of paired groups.
10. Conclude by reminding students that if Emma decided to buy car A then she could do so without borrowing, but because car A was an older model, there was the risk that she would end up paying more money for maintenance/repairs etc. Regardless of whether Emma bought car A or car B she could not have anticipated that she would be made part-time in her job a year later, but this change in her circumstances would affect her differently depending on the car she purchased.
