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A sofa costs £1099. The shop offers this payment plan:

Pay 20% deposit, plus 10 monthly payments of £90
Work out the percentage increase on the price of the sofa if you buy it using the payment plan.

A sofa costs £1099. The shop offers this payment plan: Pay 20% deposit, plus 10 monthly-example-1
User Cooljohny
by
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1 Answer

5 votes

Answer:

1.893%

Explanation:

20% of deposit = .2 x £1099 = £219.8

10 mostly installment of £90 = £900

Installment plan cost = £1119.8

Percent increase = (Payment plan / Original cost) - 1 = (£1119.8/£1099) -1 = .01893

or 1.893%

User KARTHICK JOTHIMANI
by
7.9k points