1. Calculating the interest amount I want to buy a new bicycle to dellver newspopers, I do not hove enough money but a friend oflers to lend me the monev. I agree to repay the money alter I year with interest of \( 10 \% \) per year. I borrow \( R 1500 \). a. How much interest must I pay? b. What will be the total amount that I need to repay to my friende c. If I decide to repay him weekly, what will my weekly instalment be? d. If the interest rate was \( 12 \% \) instead of \( 10 \% \) how much more would I have to pay for my bicycle?

To find the interest amount, you can use the formula: Interest = Principal x Rate x Time. So for your borrow of R 1500 at an interest rate of \(10\%\) per year for one year, that will be \( R 1500 \times 0.10 \times 1 = R 150 \). Now, for the total amount to repay, just add the interest to the principal amount. Thus, \( R 1500 + R 150 = R 1650 \). If you choose to repay him weekly (there are 52 weeks in a year), the weekly installment would be \( R 1650 \div 52 \approx R 31.73\). If the interest rate were \(12\%\), your new interest would be \( R 1500 \times 0.12 \times 1 = R 180 \). So, you'd pay \( R 1500 + R 180 = R 1680 \), which means you'd have to pay \( R 30 \) more than at \(10\%\).