Vehicle Price
Monthly
Interest
Number of
instalments
Deposit
Instalment**
Total
Cost*
rate
Final
Balloon
Payment
30%
R249 500
R3 979,33
72
11,65%
R0,00
*Total cost include initiation fee
*Instalment includes a monthly service fee of R57
4.1
Over how many years will the instalments be paid?
(2)
4.2
Write down the annual interest rate charged for the motor vehicle.
(2)
4.3
If the final balloon payment is 30% of the vehicle price, determine the cost of the final
balloon payment.
(2)
4.4
Calculate the total cost of buying the vehicle. Use the formula:
Total Cost = Monthly instalment * number of instalments + balloon payment.
(2)
4.5
Unfortunately Mpho's car will depreciate the minute he drives it out of the Show-room.
Calculate its value after 2 years if it depreciates at a rate of 5,2 % per annum.
(5)
4.6
Below is a statement from Motor Mecca Nissan on the status of Mpho's account. Study
the statement closely and answer the questions that follow.​