I didn't laugh, but that's because I just didn't find the joke that funny. Amusing I guess, but not funny.
I also don't really find it to be a racist joke. Most jokes require someone/something to be the goat; it's the whole point. As far as I'm concerned for a joke to be racist it has to go farther than poking fun at a someone because of an inherent characteristic, which is what this joke did. The "N-word" in this context doesn't concern me much either because it was just gratuitously included for the shock value; another jokester ploy.
'07 e90 335i: Monaco/Lemon ZSP ZPP ZCW (gone)
'02 e46 325ci: BSM/Black ZSP ZPP 5MT