DSC1630
EXAM
PACK
2025
, lOMoARcPSD|58918787
DSC1630/SOL03/1
Dear DSC1630 student,
The solutions to the questions of the mandatory Assignment 03 are included in thisStudy
document.
them
and if you need clarification on anythe
of answers,
please contact us at .
Also use
these solutions when you prepare for the examination.
You will also find the key operations for the SHARP and the HP financial
calculators at the end of
each
answer.These key operations are not the only method, these are just We examples.
hope it will help you to
understand the workings of your financial calculator.
Please practise to use your financial calculator.
NOTE:
A financialcalculator is a requirement for DSC1630.See TL101,page 10,paragraph 9.2. If you have a
normalor scientific calculator,
you willexperience difficulty to do some of the calculations.
That is why a
financial calculator is essential. Support is provided for the Sharp and HP financial
calculators.For
other financial calculators you need to download the manual from the internet if you do not have a m
Note: the final answer displayed on your calculator depends on how
many decimals your calculator’s display is set to.Set it to 6 or more
decimals and only round off the final answer to the required number
of decimals as given in the options of the answers.
For bond calculations you must set the number of digits to 5.
HOW TO SET THE NUMBER OF DECIMALS DISPLAYED ON YOUR CALCULATOR:
• SHARP EL-738 and newer versions: Press SET UP 0 0.DIG(0-9)? appears on the screen.
Enter
the number of decimals you wish to display.
• HP10BII and newer versions: Press DISP and then the number of
decimals you wish to
display.
You are welcome to contact us by e-mail
if you need any help regarding the study material.
Our contact
hours are 07:00 until 16:00 - Monday till Friday.
Our contact details:
Ms Gomo Moagi Mrs Adéle Immelman Mrs Willemien van Hoepen
E-mail:
E-mail:
E-mail:
Tel: +27 12 433 4655 Tel: +27 12 433 4691 Tel: +27 12 433 4715
Please remember that there are also e-tutors available on the Discussion Forum of myModules to help
with the study material and problems you might encounter.
Lastly,everything of the best with AssignmentPlease
04. work through Chapters76, and 8 in the study
guide,the accompanying Exercises and Evaluation exercises,
and the relevant Self-evaluation exercises on
myModules under Additional Resources before you attempt to answer the assignment.
Also, consult the
hints and notes on Assignment 04 posted in Announcement 11.
Kind regards,
Your DSC1630 lecturers
2
Downloaded by Jonah Njenga ()
, lOMoARcPSD|58918787
DSC1630/SOL03/1
1 Correct Answers
Please note that in the quiz on myModules the questions and answer options were Thatrandomised.
means
that your question numbers will most probably differ from the ones in thisOnce
solution.
you’ve found the
question you are looking for, compare your answer to the question’s final answer.
2 Solution Summary
The following is a summary of the answers:
Q1 R901,35 Option c
Q2 R360 602,85 Option c
Q3 R54 278,92 Option d
Q4 R19 904 Option c
Q5 R11 455 Option a
Q6 R = 0,01319x Option c
Q7 R6 500 Option c
Q8 R5 702,44 Option d
Q9 R1 229 787 Option d
Q 10 R215 900 Option c
Q 11 R1 680 000 Option a
Q 12 R320 000 Option d
Q 13 8,5% Option a
Q 14 R15 295,05 Option b
Q 15 R785 000,00 Option a
3 How to approach a question
Below are a few hints to consider when approaching a problem.
1. Read carefully through the question.
2. Identify the type ofproblem by looking for identifying words.
These willhelp you to decide which
formula to use.
3. Draw a timeline of the situation, where applicable.
4. Write down the formula.
5. Go back to the question and identify the given values, write them down and then substitute them
the formula.
6. Manipulate the formula if necessary.
7. Use your calculator to solve the unknown.
3
Downloaded by Jonah Njenga ()
, lOMoARcPSD|58918787
DSC1630/SOL03/1
4 Assignment 03 – Detailed Solution
Question 1
An amount of R10 000 was invested in a special savings account on 15 May at an interest rate of 15%
annum, compounded quarterly for seven months.Interest is calculated on 1 January, 1 April, 1 July and 1
October of every year.
If simple interest is used for the odd periods and compound interest for the rest of the term, the amou
interest received after seven months is
[a] R665,54.
[b] R896,95.
[c] R901,35.
[d] R1 644,57.
This is an odd period calculation and the method to be used namely, simple interest for odd periods and
compound interest for the fullperiod,is asked.To determine the odd periods it is very important to note
when the interest is being paid.
In this situation interest is paid quarterly, starting at the beginning of the
quarter.Interest is thus paid on 1 January,1 April, 1 July and 1 October.The R10 000 (P V ) is invested
for a period of seven months, thus the amount is invested from 15 May till 15 December.
Now let’s draw a timeline of the situation:
R10 000 47 days 75 days
15 May 1 July 1 Oct 15 Dec 1 Jan
There are two odd periods.
One from 15 May to 1 July and one from 1 October to 15 December.
If we use
the day number table (Appendix C on page 227 of the study guide),
then the number of days between 15
May and 1 July is 182 − 135 = 47 days,
and the number of days between 1 October and 15 December is
349 − 274 = 75 days.
The period between 1 July and 1 October consists of one full quarterIf period.
you count the interest dates
you get two,but remember the value ofis tthe number of time periods and a time period is between two
Thus,t = 14 year.Now we use simple interest for odd periods and
dates,thus we only have one quarter.
compound interest for the full period.
The accumulated value at 15 Dec is calculated as
j m t2m
S = P (1 + rt 1)(1 + ) (1 + rt3)
m
1
×4
47 0,15 4 75
= 10 000 1 + 0,15 × 1+ 1 + 0,15 ×
365 4 365
= 10 901,34776 . . .
The interest is equal to
I =S−P
= 10 901,3477 . . . − 10 000
= 901,3477 . . . .
The amount of interest is equal to R901,35.
4
Downloaded by Jonah Njenga ()
EXAM
PACK
2025
, lOMoARcPSD|58918787
DSC1630/SOL03/1
Dear DSC1630 student,
The solutions to the questions of the mandatory Assignment 03 are included in thisStudy
document.
them
and if you need clarification on anythe
of answers,
please contact us at .
Also use
these solutions when you prepare for the examination.
You will also find the key operations for the SHARP and the HP financial
calculators at the end of
each
answer.These key operations are not the only method, these are just We examples.
hope it will help you to
understand the workings of your financial calculator.
Please practise to use your financial calculator.
NOTE:
A financialcalculator is a requirement for DSC1630.See TL101,page 10,paragraph 9.2. If you have a
normalor scientific calculator,
you willexperience difficulty to do some of the calculations.
That is why a
financial calculator is essential. Support is provided for the Sharp and HP financial
calculators.For
other financial calculators you need to download the manual from the internet if you do not have a m
Note: the final answer displayed on your calculator depends on how
many decimals your calculator’s display is set to.Set it to 6 or more
decimals and only round off the final answer to the required number
of decimals as given in the options of the answers.
For bond calculations you must set the number of digits to 5.
HOW TO SET THE NUMBER OF DECIMALS DISPLAYED ON YOUR CALCULATOR:
• SHARP EL-738 and newer versions: Press SET UP 0 0.DIG(0-9)? appears on the screen.
Enter
the number of decimals you wish to display.
• HP10BII and newer versions: Press DISP and then the number of
decimals you wish to
display.
You are welcome to contact us by e-mail
if you need any help regarding the study material.
Our contact
hours are 07:00 until 16:00 - Monday till Friday.
Our contact details:
Ms Gomo Moagi Mrs Adéle Immelman Mrs Willemien van Hoepen
E-mail:
E-mail:
E-mail:
Tel: +27 12 433 4655 Tel: +27 12 433 4691 Tel: +27 12 433 4715
Please remember that there are also e-tutors available on the Discussion Forum of myModules to help
with the study material and problems you might encounter.
Lastly,everything of the best with AssignmentPlease
04. work through Chapters76, and 8 in the study
guide,the accompanying Exercises and Evaluation exercises,
and the relevant Self-evaluation exercises on
myModules under Additional Resources before you attempt to answer the assignment.
Also, consult the
hints and notes on Assignment 04 posted in Announcement 11.
Kind regards,
Your DSC1630 lecturers
2
Downloaded by Jonah Njenga ()
, lOMoARcPSD|58918787
DSC1630/SOL03/1
1 Correct Answers
Please note that in the quiz on myModules the questions and answer options were Thatrandomised.
means
that your question numbers will most probably differ from the ones in thisOnce
solution.
you’ve found the
question you are looking for, compare your answer to the question’s final answer.
2 Solution Summary
The following is a summary of the answers:
Q1 R901,35 Option c
Q2 R360 602,85 Option c
Q3 R54 278,92 Option d
Q4 R19 904 Option c
Q5 R11 455 Option a
Q6 R = 0,01319x Option c
Q7 R6 500 Option c
Q8 R5 702,44 Option d
Q9 R1 229 787 Option d
Q 10 R215 900 Option c
Q 11 R1 680 000 Option a
Q 12 R320 000 Option d
Q 13 8,5% Option a
Q 14 R15 295,05 Option b
Q 15 R785 000,00 Option a
3 How to approach a question
Below are a few hints to consider when approaching a problem.
1. Read carefully through the question.
2. Identify the type ofproblem by looking for identifying words.
These willhelp you to decide which
formula to use.
3. Draw a timeline of the situation, where applicable.
4. Write down the formula.
5. Go back to the question and identify the given values, write them down and then substitute them
the formula.
6. Manipulate the formula if necessary.
7. Use your calculator to solve the unknown.
3
Downloaded by Jonah Njenga ()
, lOMoARcPSD|58918787
DSC1630/SOL03/1
4 Assignment 03 – Detailed Solution
Question 1
An amount of R10 000 was invested in a special savings account on 15 May at an interest rate of 15%
annum, compounded quarterly for seven months.Interest is calculated on 1 January, 1 April, 1 July and 1
October of every year.
If simple interest is used for the odd periods and compound interest for the rest of the term, the amou
interest received after seven months is
[a] R665,54.
[b] R896,95.
[c] R901,35.
[d] R1 644,57.
This is an odd period calculation and the method to be used namely, simple interest for odd periods and
compound interest for the fullperiod,is asked.To determine the odd periods it is very important to note
when the interest is being paid.
In this situation interest is paid quarterly, starting at the beginning of the
quarter.Interest is thus paid on 1 January,1 April, 1 July and 1 October.The R10 000 (P V ) is invested
for a period of seven months, thus the amount is invested from 15 May till 15 December.
Now let’s draw a timeline of the situation:
R10 000 47 days 75 days
15 May 1 July 1 Oct 15 Dec 1 Jan
There are two odd periods.
One from 15 May to 1 July and one from 1 October to 15 December.
If we use
the day number table (Appendix C on page 227 of the study guide),
then the number of days between 15
May and 1 July is 182 − 135 = 47 days,
and the number of days between 1 October and 15 December is
349 − 274 = 75 days.
The period between 1 July and 1 October consists of one full quarterIf period.
you count the interest dates
you get two,but remember the value ofis tthe number of time periods and a time period is between two
Thus,t = 14 year.Now we use simple interest for odd periods and
dates,thus we only have one quarter.
compound interest for the full period.
The accumulated value at 15 Dec is calculated as
j m t2m
S = P (1 + rt 1)(1 + ) (1 + rt3)
m
1
×4
47 0,15 4 75
= 10 000 1 + 0,15 × 1+ 1 + 0,15 ×
365 4 365
= 10 901,34776 . . .
The interest is equal to
I =S−P
= 10 901,3477 . . . − 10 000
= 901,3477 . . . .
The amount of interest is equal to R901,35.
4
Downloaded by Jonah Njenga ()
