Mary wants to buy a fridge that costs RIS 550. She has to pay a deposit of 15% of the cost and the balance by means of a hire-purchase agreement. The rate of interest
on the loan is 16,25% p.a. simple interest. The repayment period of the loan is 54 months. In addition to the hire-purchase agreement, an annual insurance premium of 1,5% of the total cost of the fridge should be added. The annual insurance premium should be paid in monthly instalments.

(a) Calculate the value of the loan that Mary will take.
(b) Calculate the total amount that must be repaid on the hire-purchase agreement.
(c) Calculate the monthly repayment, which includes the monthly insurance premium.