Philani bough a scooter for R15 000. He paid 15% of the amount in cash and sgned a hire-purchase agreement to pay the balance in 24 equal monthly instalments. The interest rate is 10% per annum. How much did he pay in cash?
Calculate the total amount that he must still pay.
If philani buys a scooter for 15,000 and wants to pay 15% down then he must pay 2,250. After this they will still need to pay 12,750 to pay of the scooter, but after the 10% annually (for two years) then they will owe 15,750 for the scooter rather than 12,750. Hope this helps!
