The Toyota Matrix combines the style and fun of a sport coupe with the utility of a small sport utility at the price of a compact. Matrix was designed for people who want a vehicle with a sporty image and high functionality.

The Matrix offers peppy acceleration, particularly around town. It corners nicely yet offers a smooth, comfortable ride. It's practical, with a big cargo area that can be expanded by folding down the rear seats. And it's stylish.

While the high-performance XRS model has drawn some attention with its high-revving 164-horsepower engine, we preferred the 126-horsepower models for their more relaxed, more pleasant demeanor. Most popular is the mid-grade Matrix XR. (Note that horsepower numbers are lower for 2006 models due to a change in how power is calculated. Performance of the engines remains unchanged from 2005 models.)