ATAR Notes: Forum
VCE Stuff => VCE Mathematics => VCE Mathematics/Science/Technology => VCE Subjects + Help => VCE General & Further Mathematics => Topic started by: vce01 on October 15, 2008, 10:38:14 pm
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alright so i came across this question in checkpoints:
A loan of $18 000 is to be repaid by making 48 payments of $480 per month.
For this loan, the effective rate of interest is closest to
A. 7.0% per annum
B. 13.7% per annum
C. 26.7% per annum
D. 28.0% per annum
E. 54.9% per annum
its in checkpoints 08 on page 61. & question #5 (bus math) in vcaa exam 2002.
the problem is, in checkpoints, the answer according to the author is E. but in vcaa it says its B?? whats up with that?
i thought it was B as well but then checked the answers to find that i was apparently wrong
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Checkpoints make mistakes. I've had friends complain about how many mistakes they found in the Accounting ones.
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ugh, neil duncan ftl
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Neil Duncan is usually good. I've been working out of his checkpoints as well, and he has a really good way of explaining solutions. However, i would bet money on the fact that he makes a few mistakes. Nevertheless, checkpoints is awesome, and i've learnt a lot from Mr Duncan haha. I'm actually doing a trial exam today that was written by him. Lets hope there are no huge errors.
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Just a confirmation, I got B as well :)
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As Jamison has also found, answer is B. Not sure what Checkpoints has done.
48 payments of $480 = $23040
That means $5040 was the amount of interest
Put this in the SI formula and you get 7% simple interest per year
Then, effective rate of interest =
% = answer B