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Karime Hernandez
Chloe canche
Nehannah cuello
Shadira gomez
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Table of Contents
Cover Page…………………………………………………………………………1
Table of contents………………………………………………………………….2
Purpose……………………………………………………………………………..3
Introduction…………………………………………………………………………3
Method of data collection…………………………………………………………4
Presentation of data……………………………………………………………….4-6
Graphs………………………………………………………………………………..6-7
Analysis of Data…………………………………………………………………….8
Discussion of findings……………………………………………………………..9
Conclusion……………………………………………………………………………9
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Purpose

The goal of this school-based assessment project is to analyze and understand the
hire purchase installments on different household appliances compared to the
immediate cash price of those household appliances. Through this project, it will
assist in determining which payment plan helps save more money when purchasing
your appliances for home.

Introduction

We have chosen to analyze the pricing of household appliances under two payment
methods: Cash price and Monthly Installments, also known as Hire Purchase. This
project will explore the differences between these payment plans, focusing on the
increased costs associated with hire purchase due to added interest or financing
fees. Paying the immediate cash price is known to be cheaper because it does not
require interest compared to the hire purchase installments. We used household
materials such as a fridge, microwave oven, Lasko fan, and TV. We will compare prices
from two stores: SP Warehouse Store and Odette’s Store.

Method of Data Collection

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The information needed for this Math SBA was gathered through the use of prices
collected from SP Warehouse Store and Odette’s Store. Using these prices, we
compared the difference between paying a full cash payment and paying on a hire
purchase payment plan. This data was collected by going to the stores, sitting with
the salespersons, and going through the immediate cash price along with the hire
purchase plan. The hire purchase plan had a price to pay for a time period of 12
months. Until the payment for the 12 months is over, the payment is complete, and the
individual can take the appliance home.
Presentation of Data

Item Store Cash price Monthly Monthly Savings

installments installments
total

Fridge SP $750 $71.88 $862.56 $112.56

Odettes $800 $70 $840 $40

Microwave SP $400 $38 $456 $56

Odettes $420 $38 $456 $36

Lasko Fan SP $100 $9.53 $114.36 $14.36

Odettes $120 $15 $180 $60

Television SP $595 $57 $684 $89

Odettes $610 $55 $660 $50

● Fridge (SP):
- Monthly Installments Total: $71.88 x 12 = $862.56
- Savings = Cash price - Monthly Installments total = $862.56 - $750 =
$112.56

● Fridge (Odette’s):
- Monthly Installments Total: $70 x 12 = $840
- Savings = Cash price - Monthly Installments total = $840 - $800 = $40

● Microwave (SP):
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- Monthly Installments Total: $38 x 12 = $456
- Savings = Cash price - Monthly Installments total = $456 - $400 = $56

● Microwave (Odette’s):
- Monthly Installments Total: $38 x 12 = $456
- Savings = Cash price - Monthly Installments total = $456 - $420 = $36

● Lasko Fan (SP):

- Monthly Installments Total: $9.53 x 12 = $114.36
- Savings = Cash price - Monthly Installments total = $114.36 - $100 = $14.36

● Lasko Fan (Odette’s):

- Monthly Installments Total: $15 x 12 = $180
- Savings = Cash price - Monthly Installments total = $180 - $120 = $60

● Television (SP):
- Monthly Installments Total: $57 x 12 = $684
- Savings = Cash price - Monthly Installments total = $684 - $595 = $89

● Television (Odette’s):
- Monthly Installments Total: $55 x 12 = $660
- Savings = Cash price - Monthly Installments total = $660 - $610 = $50

Graphs:
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Analysis of Data
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- Fridge: SP Warehouse Store offers a fridge at a cash price of $750, with a hire
purchase total of $862.56, saving $112.56 when paying upfront. Odette’s Store offers
a fridge at a cash price of $800, with a hire purchase total of $840, saving $40 when
paying upfront.
- Microwave: SP Warehouse Store offers a microwave at a cash price of $400, with a
hire purchase total of $456, saving $56 when paying upfront. Odette’s Store offers a
microwave at a cash price of $420, with a hire purchase total of $456, saving $36
when paying upfront.
- Lasko Fan: SP Warehouse Store offers a Lasko fan at a cash price of $100, with a
hire purchase total of $114.36, saving $14.36 when paying upfront. Odette’s Store
offers a Lasko fan at a cash price of $120, with a hire purchase total of $180, saving
$60 when paying upfront.
- Television: SP Warehouse Store offers a television at a cash price of $595, with a
hire purchase total of $684, saving $89 when paying upfront. Odette’s Store offers a
television at a cash price of $610, with a hire purchase total of $660, saving $50
when paying upfront.

Discussion of Findings
This project aimed to analyze and understand the costs associated with hire
purchase agreements for common household appliances from two different stores. By
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comparing the total expenses of purchasing items on a hire purchase plan versus
paying upfront in cash, we identified significant cost differences between SP
Warehouse Store and Odette’s Store.

- Fridge: SP Warehouse Store offers greater savings ($112.56) when paying upfront
compared to Odette’s Store ($40).
- Microwave: SP Warehouse Store offers better savings ($56) than Odette’s Store
($36) when paying upfront.
- Lasko Fan: Odette’s Store offers greater savings ($60) when paying upfront
compared to SP Warehouse Store ($14.36).
- Television: SP Warehouse Store offers better savings ($89) when paying upfront
compared to Odette’s Store ($50).

Conclusion

This project revealed that hire purchase agreements for household appliances
significantly increase total costs compared to cash payments. While both SP
Warehouse Store and Odette’s Store offer hire purchase plans, SP Warehouse Store
generally provides better savings when paying upfront for most items except the
Lasko fan, where Odette’s Store offers greater savings. Therefore, SP Warehouse
Store is the more economical choice for purchasing a fridge, microwave, and
television, whereas Odette’s Store offers the best price for a Lasko fan.