MPG and cost of gas

Since we got the Nissan Rogue a few months ago, I’ve been agonizing over how much I’d have to pay more in gas, as this vehicle gives approximately 3 miles less per gallon compared to the earlier Mazda6 it replaced. How will this pare out on my wallet over the course of the vehicle?

To quantitatively analyse this I’ve come up with a couple of spreadsheets which will tell me very closely how much more I’m shelling out for gas.

There are 3 variables:

1) Number of miles I drive this in a year – For the past few years I have averaged around 15,000 miles. I will make this constant.

2) The cost of a gallon of gas – I have laid out scenarios where gas is $3.00, $3.50,  $4.00 a gallon, and the price per gallon at the last fill-up before I wrote this post

3) The mpg that I’m getting out of the vehicle – The Rogue is averaging around 24.8 mpg, whereas the Mazda6 averaged 27.5 mpg over its course with us.

So, if we assume that the price of gas would average around $3.50 a gallon for the next 5 years, my total increase in gas-money would be ($2,116.94 – $1,909.09) x 5 = $1,039.25

Which, with the added AWD and space of the Rogue, I’m okay to live with.

To further this exercise, I have changed a few of the above 3 variables to give a broader view.

Categories: Demystify, Economics | Leave a comment

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