Consumer Mathematics

Section # 1: Fill in the blanks.(8@ 0.5 pt=4pts)

Use the terms listed below to complete each statements.

Net income Salary Profit Minimum wage

Bi-weekly Income Commission Gross pay
Discounted Price Hire Purchase

1) _______________money received through work or through investments

2) _______________the lowest hourly, daily or monthly pay that employers may legally
pay to workers
3) _______________total money earned before deductions
4) _______________a gain, when the selling price is greater than the cost price.
5) ______________a fixed number of hours an employee is required to work for the week.
6) ______________the employee receives a percentage of the total sales made
7) ______________every two weeks
8) ______________ what the item was sold for, after discount

Section # 2: Multiple Choice(s)(6 @ 3.5 pts =21 pts)

Shade the letter corresponding to the correct answer.

9) Anna buys 4 pens for $30. One was not working. For how much must she sell EACH of
the remaining 3 pens in order to get back her EXACT money?
(A) $ 7.50
(B) $5
(C) $10
(D) $6

10) Maria deposited $450 in a bank, which adds simple interest at 5% per annum. How much
interest does Maria earn in 2 years?
(A) $22.50
(B) $45.00
(C) $405.00
(D) $495.00

Use the information to answer question 11.

Waitress Needed
$ 6 per hour for 40 hours
 Overtime will be paid at time and a half

11) A waitress earned $285 in one week. How many hours did she work beyond the 40
hours?
(A) 5 hours
(B) 6 hours
(C) 8 hours
(D) 9 hours

Use the diagram shown right to answer question 12.

12) How much does a customer pay for the shirt?

(A) $ 4.00
(B) $ 30.00
(C) $ 36.00
(D) $ 44.00

13) An item priced at $ 500 is bought on hire purchase,

where $200 is deposit is required, along with 12
installment of $40. How much would be saved if
bought with cash?
(A) $ 680
(B) $ 500
(C) $ 180
(D) $ 60

14) Henry wants to buy the bicycle shown below. How much
will he pay for the bicycle?

(A) 690
(B) 615
(C) 600
(D) 90

Section # 3: Problem Solving (15pts)

15) A printer is advertised for sale at marked price of $84 000. A discount of 12% is given if
it is bought for cash. It can also be bought on hire purchase by paying a deposit of $ 29
400 followed by 24 monthly payments of J$ 2300 each.

Calculate:
(a) (3pts) The cash price.
Solution:
i) Discount =

ii) Cash price = marked price - discount

(b) (3pts)The hire purchase price.

Solution:
i) Hire purchase price = deposit + amount payable

c) (2pts) The amount saved by buying the printer for cash rather than on hire purchase.
Solution:

Amount Save = Hire purchased Price – Cash Price

 16) A man who has a wife and two children earns $32 000 a year. The annual tax-free
allowances are shown in Table 1.

Calculate:

(a) (2pts)His TOTAL annual tax-free allowances

(b) (2pts) His annual taxable income.

Table 2 shows the taxes that are due annually.

(c) (3pts) Calculate the taxes that he should pay annually.