DSC1630
Introductory Financial Mathematics
Department of Decision Sciences
Assignment 01 for 2021 AS PER UPDATED TUTORIAL
LETTER
Unique assignment number: 369373
Due Date: 24 May 2021
Preview of Question 1
Siphesihle borrows money from the bank at a discount rate of 16,5% per year. He must pay
the bank R30 000 in eight months from now. The amount of money he receives from the
bank now is
[1] R33 707,87.
[2] R26 700,00.
[3] R27 027,03.
[4] R33 463,26.
[5] R33 300,00.
Answer:
𝑆 = 𝑅30 000
8
𝑡=
12
, 𝑑 = 0,165
8
𝑃 = 30 000 (1 − 0,165 × )
12
𝑃 = 𝑅26 700
Introductory Financial Mathematics
Department of Decision Sciences
Assignment 01 for 2021 AS PER UPDATED TUTORIAL
LETTER
Unique assignment number: 369373
Due Date: 24 May 2021
Preview of Question 1
Siphesihle borrows money from the bank at a discount rate of 16,5% per year. He must pay
the bank R30 000 in eight months from now. The amount of money he receives from the
bank now is
[1] R33 707,87.
[2] R26 700,00.
[3] R27 027,03.
[4] R33 463,26.
[5] R33 300,00.
Answer:
𝑆 = 𝑅30 000
8
𝑡=
12
, 𝑑 = 0,165
8
𝑃 = 30 000 (1 − 0,165 × )
12
𝑃 = 𝑅26 700
