The cash price of televsion is £480. Sean buys the television on credit. He has to pay a deposit of 25% of the cash price and then 12 monthly payments of £35
Calculate
a)the total cost of buying the televsion on credit
b) the amount sean would have saved if he had paid by cash
PLEASE SHOW WORKING OUT TO GET BEST ANSWER!!
2007-02-26 05:41:19 · 2 answers · asked by Leanne 3 in Education & Reference ➔ Homework Help
Well here is how to work the problem:
Step #1: Deposit is 480 x .25 = 120
Step #2: 12 Payments at 35 = 420
Total cost = 540
If not financed Sean would have saved 540-480 = 60
a) Answer is 540
b) Answer is 60
2007-02-26 06:04:53 · answer #1 · answered by lremmell64 4 · 1⤊ 0⤋
480 purchase price
120 down payment (480 * .25)
12 payments of 35 = 420 (12 * 35)
420 + 120 = 540 total paid
would have saved 60 by paying cash
2007-02-26 05:47:26 · answer #2 · answered by Heather Y 7 · 2⤊ 0⤋