Question

Mary wants to buy a sewing machine, she can buy it for $315 cash, or on hire purchase for $25 down payment and 12 monthly instalments of $27. 50. How much more will Mary have to pay on hire purchase?

Answer 1

She will pay $40 more.

Explanation:

I used the equation y=27.50x + 25 to find this out and made x = 12 to represent how many months she is paying.

now putting x into the equation, y = 27.50(12) + 25

First i did the multiplication, 27.50 x 12 = $330.

Then I added 25 to 330 for the down payment, 330 + 25 = 355

I then did 355 - 315 to find out how much more you would pay,

355 - 315 = $40

Hope this helps!