Subjects finance

Instalment Price 5Aec69

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1. **Problem Statement:** Ainun bought the iPhone 17 Pro Max by paying 250 per month for 3 years. The interest charged on the original balance was 5.5%. We need to find: (i) The instalment price of the iPhone 17 Pro Max. (ii) The amount of interest. 2. **Formulas and Important Rules:** - Total instalment price = Monthly payment \( \times \) Number of months - Number of months = Years \( \times 12 \) - Interest amount = Total instalment price - Original price - Interest rate is given on the original price. 3. **Step-by-step Solution:** (i) Calculate the total instalment price: Number of months = $3 \times 12 = 36$ Total instalment price = $250 \times 36 = 9000$ So, the instalment price of the iPhone 17 Pro Max is $9000$. (ii) Calculate the original price using the interest rate: Let the original price be $P$. Interest charged = $5.5\%$ of $P = 0.055P$ Total instalment price = Original price + Interest $$9000 = P + 0.055P = 1.055P$$ Solve for $P$: $$P = \frac{9000}{1.055} \approx 8530.33$$ Calculate the amount of interest: $$\text{Interest} = 9000 - 8530.33 = 469.67$$ 4. **Final answers:** (i) Instalment price = $9000$ (ii) Amount of interest = $469.67$