IP = CP + r=1- (1-12)(1 - 12)... (1) k(k + 1) OPB = Rk -1 In(n + 1). NP = LP(1 - 1)(1-2)...(1- Credit given Amount paid 1-d 14 Vaiks) QUESTION 2 a) Mawardah wants to buy a set of furniture for her new house which has a cash price of RM 25,000. However, she decides using installment plan where she pays 20% deposit and the balance will be paid through 21 monthly payments. She has two options to repay the balance. Option A: 8% on flat rate. Option B: 9% on reducing balance. 1) Based on the monthly payment, which option should she choose? (8 Marks) For option B, find the outstanding balance if she decided to settle the balance immediately after making the 12th payment using the Rule of 78. (4 Marks) b) A notebook was purchased by making a down payment of RM 400 followed by 12 monthly payments of RM 300 each. What is the interest charged if the cash price of the notebook is RM3500