Question 1 Sibiya decides that he would like to buy his lovely wife Patience a new car when she turns 30 in six years time. He deposits R6 000 at the beginning of each month into an account earning 8,94% interest per year, compounded monthly. The amount that Sibiya (rounded to the nearest rand) will have available six years from now is

[1] R432 000.

[2] R333 412.

[3] R573 187.

[4] R335 896.

[5] R568 948.

Question 2 Lucy invested R40 000 in order to have R56 000 available in 30 months time. The yearly interest rate, compounded semi-annually, is

[1] 16,00%.

[2] 8,00%.

[3] 7,21%.

[4] 13,92%.

[5] 14,41%.

Question 3 To pay off a loan of R7 000 due now and a loan of R2 000 due in 14 months time, Mrs Slovo agrees to make three payments in two, five and ten months time respectively. The second payment is to be double the first and the third payment is to be triple the first. What is the approximate payment at month five if interest is calculated at 16% per year, compounded monthly?

[1] R3 164,86

[2] R4 627,26

[3] R1 582,43

[4] R3 000,00

[5] R4 500,00

Questions 4 and 5 are based on the following situation: Four years ago Betty borrowed R120 000 from Obakeng at 12,65% interest per year, compounded quarterly, due two years from now. Six months ago she also borrowed R65 000 from Obakeng at 15,2% interest per year compounded monthly, due two years from now.

Question 4 The amount that Betty must pay Obakeng two years from now is

[1] R185 000,00.

[2] R285 408,03.

[3] R341 265,67.

[4] R385 752,04.

[5] R348 163,14.

Question 5 After seeing what she owes Obakeng two years from now, Betty decides to reschedule the debt. She will pay Obakeng R85 000 now and the rest five years from now. Obakeng agrees on condition that the new agreement will run from now, and will be subject to 13,7% interest per year, compounded half yearly. The amount that Betty will pay Obakeng five years from now is

[1] R353 240,95.

[2] R193 974,78.

[3] R519 042,89.

[4] R164 878,56.

[5] R354 164,33.