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(a). A young couple wishes to buy a brand new car and they see their favourite car dealer. As they do not have enough money

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(a). A young couple wishes to buy a brand new car and they see their favourite car dealer. As they do not have enough money to buy the car straight away, the dealer offers them the following conditions: They must pay an initial deposit amount equivalent to 20 % of the price of the car to provide for the government statutory and dealer delivery charges. Instead of paying the remaining 80 % of the car price now, they will need to pay weekly instalments of $ 200 over a period of 5 years, with the first instalment paid one week after the initial deposit is paid when the car is delivered to them. The interest rate charged by their finance company is 10% per annum compounded daily. Assume there are 52 weeks in a year. (i) What is the price of the car? Give your answer to the nearest dollar. om (2 marks) (ii) After 3 years, the couple wins a lottery prize big enough to enable them to repay all they still owe to the finance company. What is the amount of the debt to be repaid? Give your answer to the nearest dollar. (2 marks)

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