Question

Carl wants to buy a television that cost $500 including taxes to pay for the television he will use a payment plan that requires him to make a down payment of $125 and then pay $72.50 each month for six months what is the percent increase from the original cost of the television to the cause of the television using the payment plan

Answer 1

Answer:

41%

Step-by-step explanation:

Given the cash price is $500, the hire purchase price is calculated by summing the installment and down-payment:

$Hire \ Purchase \ Price=Installments +Downpayments\\\\=8\times 72.50+125\\\\=705$

#Percentage increase in price is the difference between the hire purchase price and list price as a percentage of the list price:

$\bigtriangleup Price=705-500\\\\=205\\\\\%\bigtriangleup Price=\frac{\bigtriangleup Price}{500}\times 100\%\\\\\\=\frac{205}{500}\times100\%\\\\=41\%$

Hence, the % increase in price is 41%