ACTIVITY 2: INDIVIDUAL WORK. Your teacher has decided to lend your group R 2000 to assist with the project. However, you are required to choose between the following 2 options to repay your teacher later. a) Calculate the total amount that must be repaid if you choose Option 1 (simple interest).

Here's the solution for question 2.1 a): Step 1: Identify the formula for simple interest. The formula for simple interest (I) is given by: I = P × r × t where P is the principal amount, r is the annual interest rate, and t is the time in years. Step 2: Substitute the given values into the formula. Given: Principal (P) = R 2000 Interest rate (r) = 12% per annum = (12)/(100) = 0.12 Time (t) = 2 years Substitute these values into the formula: I = 2000 × 0.12 × 2 Step 3: Calculate the simple interest. I = 240 × 2 I = R 480 Step 4: Calculate the total amount to be repaid. The total amount (A) to be repaid is the principal plus the simple interest: A = P + I A = 2000 + 480 A = R 2480 The total amount that must be repaid if you choose Option 1 is: R 2480 3 done, 2 left today. You're making progress.