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Financial Maths, SMB-024

A $2000 lounge suite was sold under a hire-purchase agreement.

A deposit of $200 was paid.

The balance was to be paid in 36 equal monthly instalments of $68.

Calculate the total interest paid in the purchase.   (3 marks)

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`$648`

Show Worked Solution

`text{Deposit} = $200`

`text(Total instalments) = 36 xx 68 = $2448`

`text{Total price paid} = 200 + 2448 = $2648`

`text{Interest paid} = 2648-2000 = $648` 

Filed Under: Earning and Spending Money Tagged With: num-title-ct-corea, smc-4331-60-Hire purchase

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