Australia’S Legal System — Sources Of Law Affecting MotoristsEssay Preview: Australia’S Legal System — Sources Of Law Affecting MotoristsReport this essayAustralia’s Legal System — Sources of Law Affecting MotoristsThere are vast issues involved in purchasing a new car. These costs of purchasing and operating a motor vehicle can be separated into fixed costs and running costs.
Fixed costs signify the standing and purchasing costs of a car. These costs are earned through ownership of the vehicle and are expressed as dollars per week.
Fixed costs do not directly depend on how much the vehicle is used and are:•Registration•Insurance•Finance costs•DepreciationRunning costs are those costs, which differ according to the use of the vehicle and include:••Maintenance•TyresRegistrationRegistration is the initial recording of a vehicle on the Motor Vehicle Register, and the issuing of registration plates. Vehicles can only be registered after they have been checked to ensure they are safe to be on the road.
The average cost of registering a vehicle (per annum) includes:•Vehicle licensing fee•Compulsory third party injury insurance premium of $227.50•A recording fee of $9.60•GST on third party insurance of $22.75•Stamp duty on third party insurance of $25.03InsuranceVehicle insurance (or auto insurance, car insurance, motor insurance) is insurance purchased for cars, trucks, and other vehicles. Its primary use is to provide protection against losses incurred as a result of traffic accidents.
Insurance costs (per annum) have been determined using RACWA (Royal Automobile Club of Western Australia) comprehensive car insurance premiums and the following parameters:
•No claim bonus of 55% with bonus protection•Private Use•Age 35 years•Garaged in Morley 6062•Loan Finance•Club Membership is basic RACWA Roadside Care ($64 per annum).DepreciationDepreciation is calculated as the difference between the on road cost of a new car, and the trade in value after 5 years and 75,000 km.The on-road cost of the new vehicle is estimated as follows:•List price of new vehicle•The cost of air conditioning is included where it is not standard equipment•A dealer delivery fee of $995.00.•Vehicle licensing costs.•Stamp dutyToday’s average fuel prices for Australia:StateDieselAustralian Capital Territory$1.438$1.349$0.539New South Wales$1.417$1.338$0.559Northern Territory$1.446$1.419$0.754Queensland$1.320$1.243$0.555South Australia
•Rent of the new car is for up to 6 months, up to $1500 in cost with interest. •Cargo price of new vehicle to be bought and paid on-road.
•Stamp dutyThis is based on the gross value of petrol, diesel and other current fuel and operating charges, as well as the cost of each car used at the time of sale to the purchaser, over a 50-year period. As this is a minimum requirement for a car to be bought and spent on-road, the cost and interest are assumed to be less than 1% as the total value of the vehicle and the dealer’s investment in the vehicle.•Car registration fees and fuel service fees.•Bag of gas to be paid.•Driving while waiting to buy and for hire •Non-travelling memberships.•All new cars sold separately, and the difference between sales prices and those offered at the time of sale.The cost of all fuel and other operating costs includes the applicable import duty and VAT, and includes GST, including GST on diesel (which is paid to consumers in New Zealand) and GST on petrol (taxed at the cost of each transport vehicle sold).