We read your photo as:

How is this scene related to the book 'English'?

English

ScanSolve AI Answer

Step-by-step solution

8 steps

here's the continuation for Item 5.

Item 5:

Part a· 4 steps

Determine the amount of money that Uncle Collin pays to the money lending institution monthly.

  1. Calculate Uncle Collin's savings.

    Uncle Collin's savings are 45%45\% of the total investment of Shs 12,000,000.

    Savings=0.45×12,000,000=5,400,000 Shs\text{Savings} = 0.45 \times 12,000,000 = 5,400,000 \text{ Shs}
  2. Calculate the loan amount needed.

    The loan amount is the total investment minus his savings.

    Loan Amount (Principal, P)=12,000,000−5,400,000=6,600,000 Shs\text{Loan Amount (Principal, P)} = 12,000,000 - 5,400,000 = 6,600,000 \text{ Shs}
  3. Calculate the total amount to be repaid, including interest.

    The interest rate is 15%15\% per annum for 2 years.

    Interest (I)=P×R×T\text{Interest (I)} = P \times R \times T I=6,600,000×0.15×2=1,980,000 ShsI = 6,600,000 \times 0.15 \times 2 = 1,980,000 \text{ Shs} Total Amount to Repay (A)=P+I=6,600,000+1,980,000=8,580,000 Shs\text{Total Amount to Repay (A)} = P + I = 6,600,000 + 1,980,000 = 8,580,000 \text{ Shs}
  4. Calculate the monthly payment.

    The loan is for 2 years, which is 2×12=242 \times 12 = 24 months.

    Monthly Payment=Total Amount to RepayNumber of Months=8,580,00024=357,500 Shs\text{Monthly Payment} = \frac{\text{Total Amount to Repay}}{\text{Number of Months}} = \frac{8,580,000}{24} = \boxed{\text{357,500 Shs}}

Part b· 4 steps

Determine the percentage profit that Uncle Collin makes from his investment.

  1. Calculate the total income from the investment.

    The investment yields Shs 1,500,000 per month for 2 years.

    Total Income=1,500,000×24=36,000,000 Shs\text{Total Income} = 1,500,000 \times 24 = 36,000,000 \text{ Shs}
  2. Calculate the total cost of the investment.

    The total cost includes the initial investment (which is the sum of savings and loan principal) and the interest paid on the loan.

    Total Cost=Initial Investment+Interest Paid\text{Total Cost} = \text{Initial Investment} + \text{Interest Paid} Total Cost=12,000,000+1,980,000=13,980,000 Shs\text{Total Cost} = 12,000,000 + 1,980,000 = 13,980,000 \text{ Shs}
  3. Calculate the profit.

    Profit=Total Income−Total Cost\text{Profit} = \text{Total Income} - \text{Total Cost} Profit=36,000,000−13,980,000=22,020,000 Shs\text{Profit} = 36,000,000 - 13,980,000 = 22,020,000 \text{ Shs}
  4. Calculate the percentage profit.

    Percentage Profit=ProfitTotal Cost×100%\text{Percentage Profit} = \frac{\text{Profit}}{\text{Total Cost}} \times 100\% Percentage Profit=22,020,00013,980,000×100%≈157.5107%\text{Percentage Profit} = \frac{22,020,000}{13,980,000} \times 100\% \approx 157.5107\%

    Rounding to two decimal places:

    Percentage Profit=157.51%\text{Percentage Profit} = \boxed{\text{157.51\%}}
Was this helpful?

Still stuck on this one?

Ask a follow-up, and the answer starts from this question.

Got a different question?Ask your own question
Handwritten step-by-step solution preview

Handwritten Step-by-Step Solution

Get this as a handwritten image on WhatsApp — like a tutor wrote it for you.

Try on WhatsApp