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1) True, but no car generally gets the advertised gas mileage, as marketers use ideal conditions to calculate mileage. You still get better than almost any gasoline powered vehicle.
2)You don't have to replace the batteries, they recharge through a very efficient alternator, much like typical car batteries.
If by small Toyota car you mean a motorcycle or other smaller engine vehicle you are correct. If you mean a sedan, or 4 or more cylinders then you're just plain wrong.