2025 MSHS PRELIMS P1 Q3

The cash price for a car was $150 000. Sally paid a downpayment of $90 000 and paid the remaining amount by monthly instalments for 5 years. A simple interest of (x%) per annum was charged and her monthly instalment was $1090.

1. Find the value of \(x\).[4]
2. Calculate the extra cost of using hire purchase as a percentage of the cash price.[1]