QUESTION 2 [11 MARKS]
Anne needs to buy a new fridge and has been researching the best way to pay for it
- either by cash option or by hire purchase option (monthly instalments). The fridge
she would like to buy is on special at R3 999 cash or she would pay 10% deposit
and then pay R185 per month for 24 months.
2.1 Calculate the amount Anne would pay for the deposit.
(3)
27
2.2 How much in total would Anne pay if she chooses an instalment option. Show all
calculations.
2.3 How much interest would Anne pay after 24 months?
2.4 Give 2 advantages of buying on credit.
(4)
2
(2)
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