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Financial Maths, STD1 EQ-Bank 24

The table shows Youth Allowance payment rates per fortnight.

\begin{array} {|l|c|}
\hline
\rule{0pt}{2.5ex} \textbf{Your situation} \rule[-1ex]{0pt}{0pt} & \textbf{Maximum fortnightly payment} \\
\hline
\rule{0pt}{2.5ex} \text{Single, no children, younger than 18, at parents' home} \rule[-1ex]{0pt}{0pt} & $410.30 \\
\hline
\rule{0pt}{2.5ex} \text{Single, no children, younger than 18, living away} \rule[-1ex]{0pt}{0pt} & $663.30 \\
\hline
\rule{0pt}{2.5ex} \text{Single, no children, 18 or older, at parents' home} \rule[-1ex]{0pt}{0pt} & $472.50 \\
\hline
\rule{0pt}{2.5ex} \text{Single, no children, 18 or older, living away} \rule[-1ex]{0pt}{0pt} & $663.30 \\
\hline
\rule{0pt}{2.5ex} \text{Single, with children} \rule[-1ex]{0pt}{0pt} & $836.60 \\
\hline
\end{array}

  1. Lisa is 17 years old, single with no children, and lives away from her parents' home to study. What is the maximum Youth Allowance payment she can receive per fortnight?   (1 mark)

    --- 1 WORK AREA LINES (style=lined) ---

  2. Lisa earns $320 per fortnight from part-time work. Her Youth Allowance is reduced by 50 cents for each dollar earned over $236 per fortnight. Calculate Lisa's reduced Youth Allowance payment.   (1 mark)

    --- 3 WORK AREA LINES (style=lined) ---

Show Answers Only

a.    \($663.30\)

b.    \($621.30\ \text{per fortnight}\)

Show Worked Solution

a.    \(\text{From table: Single, no children, younger than 18, living away} = $663.30\)

b.    \(\text{Income over free area} = 320-236=$84\)

\(\text{Reduction in payment} = 0.50\times 84=$42\)

\(\text{Reduced Youth Allowance} = 663.30-42=$621.30\)

\(\therefore\ \text{Lisa receives }$621.30\ \text{per fortnight}\)

Filed Under: Ways of Earning Tagged With: Band 3, Band 4, smc-6515-40-Govt Payments

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