Answer :
Certainly! Let's go through the given questions step-by-step explaining each detail with the provided answers.
### 15. Why do banks charge transaction fees?
Banks charge transaction fees to cover the costs associated with providing banking services, such as maintaining ATMs, handling cash withdrawals, processing transactions, and general operational costs. These fees also help banks generate revenue to sustain their operations and offer customer services.
### 15.2 Calculate the transaction fees for withdrawing R600,00 at BANK-ONE ATM.
According to the pricing guide in Table 2, the fee for using BANK-ONE ATM is R2,00 per R100,00 withdrawn.
For a withdrawal amount of R600,00:
[tex]\[ \text{Transaction Fee} = \left(\frac{600}{100}\right) \times 2 = 6 \times 2 = R12,00 \][/tex]
Hence, Mochs will be charged R12,00 for withdrawing R600,00 at BANK-ONE ATM.
### 15.3 Use the fee structure in Table 2 to show how the bank withdrawal fee of R150,00 was calculated when a withdrawal of R5000,00 was done at the branch.
According to the pricing guide in Table 2, the fee for a branch withdrawal is R50.00 plus R2.00 per R100.00 withdrawn.
For a withdrawal amount of R5000,00:
[tex]\[ \text{Transaction Fee} = R50,00 + \left(\frac{5000}{100}\right) \times 2 = R50,00 + 50 \times 2 = R50,00 + R100,00 = R150,00 \][/tex]
Thus, the total fee for withdrawing R5000,00 at the branch was R150,00.
### 15.4 Mochs was charged a transaction fee of R186,00 for a cash withdrawal from a current account at a BANK-ONE branch. Calculate the amount that was withdrawn.
Given that the fee structure for branch withdrawals is R50.00 plus R2.00 per R100.00 withdrawn and the total fee charged was R186.00:
Let the amount withdrawn be [tex]\( x \)[/tex].
The equation for the transaction fee will be:
[tex]\[ R186,00 = R50,00 + \left(\frac{x}{100}\right) \times 2 \][/tex]
Subtracting the fixed fee:
[tex]\[ R186,00 - R50,00 = \left(\frac{x}{100}\right) \times 2 \][/tex]
[tex]\[ R136,00 = \left(\frac{x}{100}\right) \times 2 \][/tex]
Solving for [tex]\( x \)[/tex]:
[tex]\[ R136,00 \div 2 = \frac{x}{100} \][/tex]
[tex]\[ 68 = \frac{x}{100} \][/tex]
[tex]\[ x = 68 \times 100 \][/tex]
[tex]\[ x = R6800,00 \][/tex]
Hence, the amount withdrawn was R6800,00.
### 1.6.1 Determine the amount of money Mocha will pay in Korean won for a Samsung smartphone worth R7980.
The exchange rate on the date given is 1 Won = R0.012.
For a smartphone costing R7980:
[tex]\[ \text{Phone Price in Won} = \frac{7980}{0.012} = 665000 \, \text{Won} \][/tex]
Therefore, Mocha will pay 665000 Won for the Samsung smartphone.
### 1.6.2 State whether the Korean won is stronger or weaker than the rand.
To determine the relative strength, compare the exchange rate [tex]\( \text{W1 = R0.012} \)[/tex]. Since 1 Won is equivalent to 0.012 Rands, it indicates that you need more units of Won to get 1 Rand.
Hence, the Korean won is weaker than the Rand.
### 15. Why do banks charge transaction fees?
Banks charge transaction fees to cover the costs associated with providing banking services, such as maintaining ATMs, handling cash withdrawals, processing transactions, and general operational costs. These fees also help banks generate revenue to sustain their operations and offer customer services.
### 15.2 Calculate the transaction fees for withdrawing R600,00 at BANK-ONE ATM.
According to the pricing guide in Table 2, the fee for using BANK-ONE ATM is R2,00 per R100,00 withdrawn.
For a withdrawal amount of R600,00:
[tex]\[ \text{Transaction Fee} = \left(\frac{600}{100}\right) \times 2 = 6 \times 2 = R12,00 \][/tex]
Hence, Mochs will be charged R12,00 for withdrawing R600,00 at BANK-ONE ATM.
### 15.3 Use the fee structure in Table 2 to show how the bank withdrawal fee of R150,00 was calculated when a withdrawal of R5000,00 was done at the branch.
According to the pricing guide in Table 2, the fee for a branch withdrawal is R50.00 plus R2.00 per R100.00 withdrawn.
For a withdrawal amount of R5000,00:
[tex]\[ \text{Transaction Fee} = R50,00 + \left(\frac{5000}{100}\right) \times 2 = R50,00 + 50 \times 2 = R50,00 + R100,00 = R150,00 \][/tex]
Thus, the total fee for withdrawing R5000,00 at the branch was R150,00.
### 15.4 Mochs was charged a transaction fee of R186,00 for a cash withdrawal from a current account at a BANK-ONE branch. Calculate the amount that was withdrawn.
Given that the fee structure for branch withdrawals is R50.00 plus R2.00 per R100.00 withdrawn and the total fee charged was R186.00:
Let the amount withdrawn be [tex]\( x \)[/tex].
The equation for the transaction fee will be:
[tex]\[ R186,00 = R50,00 + \left(\frac{x}{100}\right) \times 2 \][/tex]
Subtracting the fixed fee:
[tex]\[ R186,00 - R50,00 = \left(\frac{x}{100}\right) \times 2 \][/tex]
[tex]\[ R136,00 = \left(\frac{x}{100}\right) \times 2 \][/tex]
Solving for [tex]\( x \)[/tex]:
[tex]\[ R136,00 \div 2 = \frac{x}{100} \][/tex]
[tex]\[ 68 = \frac{x}{100} \][/tex]
[tex]\[ x = 68 \times 100 \][/tex]
[tex]\[ x = R6800,00 \][/tex]
Hence, the amount withdrawn was R6800,00.
### 1.6.1 Determine the amount of money Mocha will pay in Korean won for a Samsung smartphone worth R7980.
The exchange rate on the date given is 1 Won = R0.012.
For a smartphone costing R7980:
[tex]\[ \text{Phone Price in Won} = \frac{7980}{0.012} = 665000 \, \text{Won} \][/tex]
Therefore, Mocha will pay 665000 Won for the Samsung smartphone.
### 1.6.2 State whether the Korean won is stronger or weaker than the rand.
To determine the relative strength, compare the exchange rate [tex]\( \text{W1 = R0.012} \)[/tex]. Since 1 Won is equivalent to 0.012 Rands, it indicates that you need more units of Won to get 1 Rand.
Hence, the Korean won is weaker than the Rand.
