121. A shopkeeper advertises for selling cloth at \( 4 \% \) loss. However, by using a false metre scale he actually gains \( 20 \% \). What is the actual length of the scale? \( \begin{array}{ll}\text { (R.R.B., } 2006 \text { ) } \\ \begin{array}{ll}\text { (a) } 70 \mathrm{~cm} & \text { (b) } 75 \mathrm{~cm} \\ \text { (c) } 80 \mathrm{~cm} & \text { (d) } 90 \mathrm{~cm}\end{array} \\ \text { 122. Instead of a metre scale, a cloth merchant uses a } \\ 120 \mathrm{~cm} \text { scale while buying but uses an } 80 \mathrm{~cm} \text { scale } \\ \text { while selling the same cloth. If he offers a discount } \\ \text { of } 20 \% \text { on cash payment what is his overall profit } \\ \text { percentage? } \\ \begin{array}{ll}\text { (a) } 15 \% & \text { (b) } 20 \% \\ \text { (c) } 25 \% & \text { (d) } 40 \%\end{array} \\ \text { gain percentage but actually earns } 37 \frac{1}{2} \% \text { profit by } \\ \text { using false weight. If for a kg he uses a weight of } \\ 800 \text { gm, what is the nominal gain percentage at } \\ \text { which he claims to be selling his goods? } \\ \begin{array}{ll}\text { (a) } 8 \% & \text { (b) } 10 \% \\ \text { (c) } 15 \% & \text { (d) } 20 \%\end{array}\end{array} \).

Boitumelo invests an amount of R28 000 for a period of 7 years. For the first two years the interest was \( 12 \% \) p.a. compounded semi-annually. The interest was then changed to \( 10 \% \) p.a. compounded quarterly. Determine the value of the investment after the 7 -year period. .3 Convert an interest rate of \( 10 \% \) p.a. compounded quarterly to an annual effective (3) interest rate.

Fend the conpound enterest on Rs 24,000 compoundsd semi- anmualey for \( 1 \frac{1}{2} \) yeas at the Rate of \( 10 \% \)

QUESTION 2 Boitumelo invests an amount of R28 000 for a period of 7 years. For the first two years the interest was \( 12 \% \) p.a. compounded semi-annually. The interest was then changed to \( 10 \% \) p.a. compounded quarterly. Determine the value of the investment after the 7 -year period. \( 2.2 \quad \begin{array}{l}\text { Convert an interest rate of } 10 \% \text { p.a. compounded quarterly to an annual effective (3) } \\ \text { interest rate. }\end{array} \) \( 2.3 \quad \begin{array}{l}\text { A lawnmower was traded in for R236 after } 10 \text { years. The depreciation was } \\ \text { calculated at } 9.2 \% \text { p.a. on a straight-line basis. } \\ \text { Determine the cost of the lawnmower } 10 \text { years ago. }\end{array} \)

The interest rate that gives money is \( 10 \% \). At this rate, 1000 Birr will be doubled no matter how many years it is deposited in the bank

\( P=16000 R=10 \% \) Pia compoeinded half yoarly and \( T=2 y 0 \). find the amount after 2 years.