Question

A television set costs $350 cash. When bought on hire purchse, a deposit of $35 is required, followed by 12 monthly payments of $30. How much is saved by paying cash?

Answer 1

find the hire price: 12 months x $30 = $360+$35 deposit =$395

395 - 350 = $45

Answer 2

$45

Explanation:

find the hire purchase price: 12 months x $30 = $360 + $35 deposit = $395

difference: 395 - 350 = $45