QUESTION FOUR $[15]$

$4\mathrm{.}1$ Each of the questions below has four $(4)$ alternatives. Choose the most correct

alternative for each of the questions$/$statements$.$ Write down the number of the

question in your answer book and the letter corresponding to your choice next to the

question number. $(6$ x $2$ marks$)(12)$

$4\mathrm{.}1\mathrm{.}1$ A public company is distinguishable by the following abbreviation after the

name of the company:

a$)($Pty$)$ Ltd

b$)$ Ltd

c$)$ CC

d$)$ Corp

$4\mathrm{.}1\mathrm{.}2$ Which of the following business forms have a limited lifespan, and when one

of the associates dies, leaves, or a new associate becomes part of the

business entity, a new business entity then has to be formed?

a$)$ Private company

b$)$ Sole proporietorship

c$)$ Partnership

d$)$ Close corporation

$4\mathrm{.}1\mathrm{.}3$ Indicate which of the following company comparisons would not really provide

important information:

a$)$ Pick n Pay and Shoprite

b$)$ Woolworths and Foschini

c$)$ Anglo American and Verimark

d$)$ Mondi and Yorkcor

$4\mathrm{.}1\mathrm{.}4$ What will my investment of R$100500$ be worth if my bank pays me simple

interest of $9\%$ per annum and I invest my money for $180$ days?

a$)$ R$4460,55$

b$)$ R$96039,45$

c$)$ R$100550,25$

d$)$ R$104960,55$

$4\mathrm{.}1\mathrm{.}5$ A client approaches you with the news that she plans to retire on a ranch

worth R$3000000.$ She plans to save every year for $20$ years. How much

must she save at the end of each year if the interest rate is $12\%$ per annum?

$($Round off the answer to the nearest rand.$).$

a$)$ R$36800$

b$)$ R$39000$

c$)$ R$41600$

d$)$ R$43400$

$4\mathrm{.}1\mathrm{.}6$ Miriam took a bond of R$250000$ over a $25$ year period at $10\%$ per annum.

What will the customer$$s outstanding balance be after $12$ years if she makes

monthly instalments?

a$)$ R$1654,43$

b$)$ R$52085,57$

c$)$ R$197913,98$

d$)$ R$275046,43$

$4\mathrm{.}2$ Peter wishes to purchase a motor vehicle from a dealer in Johannesburg for

R$150000.$ His bank, ABSA, is prepared to lend him the money on condition that he

undertakes to repay the loan monthly in advance over a period of $36$ months. If

interest is to be charged at $16,5\%$ per annum compounded monthly in advance, what

will his monthly instalment be$?$