NORTHERN CAPE DEPARTMENT

OF EDUCATION

MATHEMATICAL

LITERACY

TERM 1

LEARNER NOTES

1
 INTRODUCTION:
YOUR BOOK!!!!!
The following MUST be evident in your book:
1. Divide your page in half. One side for your activities and one side for your
corrections.
2. You must write the topic and subtopic you are busy with e.g.
Financial Documents: Tax certificate (IRP5).
3. You must write the Source and the Activity you are busy with e.g. Activity 5.
4. You must write the page the Activity is on e.g. p. 11.
5. You must write the date e.g. 16 January 2025.

Financial Documents: Tax certificate (IRP5) 2 Corrections:

Learner Notes Activity 5 p.11 3 and 4

16 January 2025 5

2
FINANCIAL DOCUMENTS

You need to be able to find information from a variety of documents (e.g. IRP5,
Account statements and Loan statements). You also need to understand and verify the
calculations.
1. Read the financial document with comprehension – look for names, dates, balances etc.
2. Read the question carefully.
3. Read the financial document again.
4. Answer the questions.

HOME LOAN STATEMENT

1. A loan agreement between two parties.

2. The lender gives money to the borrower, with the expectation that the money will be
repaid, together with interest within a fixed period of time.
3. The interest on the loan is calculated using either a fixed or variable interest rate.
4. The fixed time period of the loan is often referred to as the term of the loan and is
usually stated in months.

EXAMPLE
ANNEXURE A shows a home loan statement and transaction history for the period
1 March 2017 to 28 February 2018.

PLEASE NOTE:
 The loan period is 20 years.
 VAT only changed to 15% with effect from 1 April 2018.

1. Give the name of the borrower.

Mr J.J.B. du Toit (2)

2. What is the loan amount?

R900 000,00 (2)

3. What does the term debit mean in the context of the question?
It is the amount of money that the borrower owes the bank/loan organisation. (2)

4. Determine A, the initial fee.

R5 250 × 1,14
= R5 985,00
OR
14
R5 250 + ( × R5 250)
100
= R5 250 + R735
= R5 985,00
OR

R905 985,00 – R900 000,00

= R5 985,00 (3)

3
5. The interest rate decreases on 1 March 2018 by 0,25%. Determine the interest
rate that is used from 1 March 2018.

9,52% – 0,25%
= 9,27% (2)

6. Calculate the total interest that was charged for the tax year ending
28 February 2018. (2)

R5 434,92 + R6 596,06
= R12 030,98 (2)

7. Calculate the amount interest owed on 31 March 2018 that will be shown on the
next statement.

You may use the following formula:

Bnr
Interest = where,
365

B = closing balance on last day of previous month

n = number of days in month
r = interest rate

R909 488,57 31 9,27%

Interest = 9,27
365  0,0927
R909 488,57 31 0,0927 100
Interest =
365
= R7 160,54 (3)
[16]

4
BANK STATEMENT

A bank statement is usually sent to the account holder monthly.

Bank statements show the following for each transaction:

• the date of the transaction
• a description of the transaction, showing the type of transaction
• the amount of the transaction, indicating whether it is a debit or credit (often in
different columns)
• a column for the balance after each transaction.

Account holder: The person whose name the account is in.

Transaction: Any event where money moves into or out of an account.
Opening Balance: The amount in the account at the beginning of the period.
Closing balance: The final amount at the end of the period.

Banks offer different types of accounts and services:

• Savings account: A bank account that earns interest. You can use a savings
account for short – term savings.

• Cheque or current account: A bank account that is used to deposit and withdraw
money by visiting the bank branch, using an ATM or Internet banking or by
writing a cheque. These are usually available to people who earn a regular income.

• Fixed deposit account: This account is aimed at those who have a lump sum they
want to invest over a fixed period of time (i.e. a medium or long term saving).
Interest is also earned on the investment.

• Credit account (with credit card): An account either with a store or bank, that
allows the account holder to purchase items now and pay for them later.

• Debit account (with debit card): Debit cards can be used to pay for purchases.
When it’s swiped, money is deducted from the account.
Credit is not available on this account.

5
ACTIVITY 1: BANK STATEMENT

David is a 68-year-old man who works at a grocery store in Swellendam.

ANNEXURE B shows an extract of David's Bank Statement for the period

1 November 2022 to 1 December 2022. Some amounts have been omitted.

Use ANNEXURE B to answer the questions that follow.

1.1 Write down the type of account David has. (2)

1.2 Determine the total amount paid for service fees (##). (3)

1.3 David's net salary paid into his account is labelled A.

He has two insurance policies.

David stated that his total monthly payments for insurance is more than a 1
4
of his net salary.

Verify, showing ALL calculations, if his statement is CORRECT. (7)

[12]

ACTIVITY 2: BANK STATEMENT

Bank account holders are allowed to request periodical (i.e. either for weekly, monthly, six
months period, etc.) statements on their accounts.
A TSD Bank Prestige Plus Current account statement for the period 09/09/2017 to
16/09/2017 is shown on ANNEXURE C.

Use ANNEXURE C to answer the questions that follow.

2.1 Write down the name of the account holder. (2)

2.2 Determine the total number of TRANSACTIONS made on this account. (2)

2.3 Calculate the total amount of IB transactions made on this account. (3)

2.4 The account holder owed the bank a certain amount on a particular day.
Identify the amount that the account holder owed the bank. (2)

2.5 Calculate the total amount deposited into this account during the period of
the statement. (2)

2.6 What percentage of the total amount deposited into this account was paid
towards TSD BANK BOND? (3)

2.7 Calculate the Pre-Paid Electricity fee on 16/09/2017. (2)

[16]

6
ACTIVITY 3: CREDIT CARD STATEMENT

Mr Warren Heyns received his Titanium credit card statement for his account at Standard
Bank, dated 9 September 2023.
ANNEXURE D shows an adapted statement of Mr Warren Heyns' credit card account.

Use ANNEXURE D to answer the questions that follow.

3.1 Write down the amount paid to Standard Bank by Mr Heyns during
September 2023. (2)

3.2 Give ONE valid reason why some numbers have been omitted from the
account number. (2)

3.3 Outstanding authorisations refer to purchases that must still be finalised.

Show, by means of calculations, how the amount of R8 323,78 for available
money to spend was determined. (3)

3.4 The amount paid to Caltex on 12/08/2023 was for 54,1365 litres of petrol.

Calculate the price per litre of petrol on that particular day. (3)

3.5 The purchase at the Pro Shop on 24/08/2023 was for a Rovic RV2 golf push
cart at a discounted price.

If a 17,5% discount was given on the price paid, calculate the original price
of the Rovic RV2 golf push cart. (4)
[14]

7
ACTIVITY 4: TAX INVOICE
Roadside Tours and Travel Agency made a booking at a guesthouse for 36 work colleagues
to attend a conference in Upington.

The guesthouse offers rooms with 2 beds and 4 beds for accommodation.

ANNEXURE E shows an invoice that Roadside Tours and Travel Agency received from
the guesthouse.

The total amount for accommodation and meals were paid for in advance.

Use ANNEXURE E and the information above to answer the questions that follow.

4.1 Write down the address of the guesthouse. (2)

4.2 Calculate the missing value C, the total for the 4-bed room. (2)

4.3 Determine (in simplified form) the ratio of the number of guests booked in
the 2-bed rooms to the number of guests booked in the 4-bed rooms. (6)

4.4 Two work colleagues who booked the 2-bed rooms cancelled as follows:

One cancelled at 11:00, while the other one cancelled at 15:00 on the check-
in date.

Their meal cost will be fully refunded, while the accommodation costs will be
refunded according to the conditions of the cancellation policy stated in
ANNEXURE E.

The tour operator stated that the refund would be less than R2 500.

Verify, showing ALL calculations, whether this statement is CORRECT. (7)

[17]

8
ACCOUNT STATEMENTS

At some clothing and food stores, it is possible to open an account, buy

goods on credit and pay off what you owe the store on a monthly basis.

Send to clients normally once a month e.g. Edgars statement.

It usually includes:
 purchases
 interest
 payments made on account
 amount due
 due date

Debit on the statement refers to money that is owed by the client.

Credit on the statement refers to an amount paid on the account (by the client).

ACTIVITY 5: CLOTHING ACCOUNT STATEMENT

Dean Peterson has a clothing account at Markham clothing store. At Markham

a customer can choose either a 6-month or a 12-month revolving (ongoing) payment option.

ANNEXURE F shows Dean's clothing store statement from Markham for a certain period
of the year.

Use ANNEXURE F to answer the questions that follow.

5.1 Write down the total balance owing on Dean's account. (2)

5.2 Give the full date on which the current instalment is due. (2)

5.3 State the opening balance of the 12-month revolving account option. (2)

5.4 Write down the price of the item that was returned. (2)

5.5 Determine the total amount paid using FNB electronic payments. (3)
[11]

9
ACTIVITY 6: TAX CERTIFICATE (IRP5)

ANNEXURE G shows the tax certificate information of Monty for 2020/21 tax year
(1 March 2020 to 28 February 2021).

*The Employee and Employer information has been omitted.

NOTE:
IRP5 is the employee's tax certificate that is issued at the end of each tax year detailing all
employer/employee related incomes, deductions and related taxes.

Use ANNEXURE G to answer the following questions.

6.1 What does the acronym PAYE stand for? (2)

6.2 Show how the total deduction of R156 141 was calculated. (2)

6.3 What does the abbreviation UIF stand for? (2)

6.4 Determine Monty's monthly UIF contribution for the 2020/21 tax year. (4)

6.5 Briefly explain the difference between an employee and an employer. (4)
[14]

10
ACTIVITY 7: CAR AND HOUSEHOLD INSURANCE POLICY

ANNEXURE H shows a summary of Bomvana's Vehicle and Household Insurance

Policy.

Use ANNEXURE H to answer the questions that follow.

7.1 Write down the policy number of Bomvana's insurance policy. (2)

7.2 Determine the missing value A, the monthly premium for the VW Polo. (4)

7.3 Bomvana qualifies for a discount on his insurance premiums as he has insured
many items.

Calculate the percentage discount that he receives if the total monthly premium
before the discount was R2 450,36. (3)

7.4 Bomvana was involved in a motor vehicle accident during July 2022. The
quotation for damages from the panel beaters was R43 520,00.

Determine the amount the insurance company will pay the panel beaters. (2)

7.5 The premium for the Toyota Corolla is much lower than that of the VW Polo.

Give ONE possible reason for this big difference in the premium amount. (2)

7.6 Bomvana pays a MiHome premium for household content cover to the value of
R200 000. After the household contents were evaluated for insurance purposes,
he bought an additional lounge suite.

Explain how the purchase of this new item will affect his MiHome content
premium. (2)
[15]

11
ANNEXURE A - HOME LOAN STATEMENT

MR J.J.B. DU TOIT Date 2018-02-28

P.O. Box 354 Statement 2017-03-01 to 2018-02-28
UPINGTON period
8800
Account number: 5439823498

Name of branch Thibault Square

Approved loan amount R900 000,00 Monthy payment R8 527,41
Current interest rate 9,52% Pay date 2018/04/03
Payment frequency Monthly

Date of Transaction Debit Credit Balance

transaction
2018-01-09 BROUGHT 900 000,00 900 000,00
FORWARD
2018-01-09 Initial fee* A 905 985,00
2018-01-31 Interest 5 434,92 911 419,92
2018-02-02 Debit order 8 527,41 902 892,51
2018-02-28 Interest 6 596,06 909 488,57

* Total cost: R5 250 (VAT excluded) + VAT ... = A

The VAT on all fees and cost on you loan account shall increase from 14% to 15% with
effect of 1 April 2018. All costs on our statements on which VAT is charged is indicated
by an asterisk (*).

12
 ANNEXURE B

EXTRACT OF DAVID'S BANK STATEMENT FOR THE PERIOD

1 NOVEMBER 2022 TO 1 DECEMBER 2022

BANK STATEMENT/TAX INVOICE

ELITE CHEQUE
Account number: 1108 762 250 2
ACCOUNT
Details Debits (R) Credits (R) Date Balance (R)
Balance brought forward 2 169,55

Service fee ## 1,60– 11 22 2 167,95

Overdraft fees 58,25– 11 25 2 109,70

Excess interest 9,35– 11 25 2 100,35

Salary A 11 30 10 078,41

Debicheck debit order 1 557,45– 11 30 8 520,96

ATM cash withdrawal 3 000,00– 11 30 5 520,96

ATM cash withdrawal 180,00– 11 30 5 340,96

Withdrawal service fees ## 69,00– 11 30 5 271,96

Fixed monthly service fee ## 110,00– 11 30 5 161,96

Debicheck debit order 335,62– 12 01 4 826,34

Insure PLA insurance 940,39– 12 01 3 885,95

premium

Santam insurance premium 940,39–- 12 01 2 945,56

Membership fee – rewards 25,00– 12 01 2 920,56

Electronic transfer credit card 1 307,76– 12 01 1 612,80

These fees include VAT at 14% until 31 March 2018 and at 15% from 1 April 2018.
[Adapted from original bank statement]

KEY: 11 30 = 30/11/2022

13
 ANNEXURE C

Prestige Plus Current Account Statement

TSD Bank From: 09/09/2017
Cornerstone Building To: 16/09/2017
Marshalltown
Gauteng 2107
Account Number: 47 962 1719
Miss T Diale
1145 Leslie Street
Vereeniging 1930
Details Debit (R) Credit (R) Date Balance (R)
Balance Brought Forward 54,31
IB Payment to Tuff Lady 20,00 09/09/2017 34,31
Purchase 63,98 13/09/2017 29,67-
Salary 9282 382,14 14/09/2017 352,47
Salary 9004 22 695,98 15/09/2017 23 048,45
Salary 9234 191,07 15/09/2017 23 239,52
IB Transfer to Teboho 2 400,00 15/09/2017 20 839,52
IB Payment to Mike 1 000,00 15/09/2017 19 839,52
IB Payment to Ntsiki 600,00 15/09/2017 19 239,52
Credit Card 2 361,52 15/09/2017 16 878,00
Insurance 9847 500,00 15/09/2017 16 378,00
Insurance 9140 532,75 15/09/2017 15 845,25
STD Bank Bond 5 569,75 15/09/2017 10 275,50
Insurance 9303 801,23 15/09/2017 9 474,27
Pre-Paid Electricity 100,00 16/09/2017 9 374,27
Vehicle repayment 3 168,79 16/09/2017 6 205,48
##Pre-Paid Electricity Fee … 16/09/2017 6 204,38
Ladies Fitness 289,00 16/09/2017 5 915,38
End

NB: Transaction means any debits or credits on the account.

IB > Internet Banking Transactions

## These fees are inclusive of VAT at 14% (Statement prior to increase in VAT)

14
 ANNEXURE D

Titanium Credit Card

MR W HEYNS Statement details

4 BEND STREET Page 1 of 1
GQEBERHA Statement Date: 9 Sep. 2023
6020
Tax Invoice
Transaction details Account 2593 **** **** 6582
Date Description Amount
10/8/23 Balance Brought Forward 606,36
Credits
6/9/23 Payment, Thank You −2 000,00
Debit
12/8/23 Caltex 1 376,15
14/8/23 Oranje Meganies 1 450,00
24/8/23 Pro Shop – Rovic RV2 Golf Push Cart 3 299,99
27/8/23 Bossa Cafe Soneike 384,00
28/8/23 Checkers Zevenwacht 177,64
1/9/23 Ucount Fee 25,00
7/9/23 Last Minute 160,00
8/9/23 C* Yoco *Koek 55,00
9/9/23 Credit Protection Policy 40,08
9/9/23 # Card Fee 42,00
9/9/23 # Service Fee 40,00
Closing balance 5 656,22

STATEMENT SUMMARY ON: TITANIUM CREDIT CARD ACC. 2593 **** **** 6582
Payment Information
Total amount owing on this statement 5 656,22
Minimum payment due 169,68
Payment due date 4 Oct 2023
Credit:
Credit limit 20 000,00
Outstanding authorisations on revolving account 6 020,00
Available money to spend 8 323,78
[Adapted from original credit card statement]

15
ANNEXURE E

INVOICE FOR BOOKING A GUESTHOUSE

On the Hill Guesthouse

125 Bossie Street, Upington

Tel: +27(0)54 333 9870

Cell: +27(0)82 477 2695

E-mail: admin@[Link]
Web: [Link]
Tax Invoice THB 3940
15/05/2022

To: Road Side Tours and Travel Agency Address: Rooms 3–12, Ground Floor
Rosy Garden Office Park, 22 Bush Street
Industria Park 0157 Centurion
South Africa

Tel: +27(0)87 005 4942 Voucher No.: THB 3940

Fax: +27(0)86 445 4916 Check in: 16 May 2022
Cell: +27(0)82 885 0089 Check out: 18 May 2022
VAT No.: 444 457 8895 Number of Guests: 36

PRICE
ITEM DESCRIPTION DURATION PER PERSON TOTAL
PER NIGHT
4-bed room 2 nights R850,00 C
2-bed room 2 nights R900,00 R28 800,00
36 x lunch meals 2 nights R80,00 R5 760,00
36 x dinner meals 2 nights R90,00 R6 480,00
TOTAL: R75 040,00

BANK ACCOUNT DETAILS: NOTE:

Account Name: On the Hill Guesthouse Arrival/Check-in time: 14:00
Bank: Standard Bank Departure/Check-out time: 10:00
Branch Code: 050002
Account Number: 418985565
CANCELLATION POLICY
Cancellation will attract the following charges, which will automatically be debited to the tour
operator's account:

 25% of accommodation cost if booking is cancelled before check-in time on the check-in
date.
 75% of accommodation cost if booking is cancelled after check-in time on the check-in
date.
[Adapted from original invoice]

16
ANNEXURE F

MARKHAM ACCOUNT STATEMENT OF D PETERSON

ACCOUNT
STATEMENT

STATEMENT DATE: 15 JAN. 2019

MR D PETERSON
27 SECOND AVENUE
COLRIDGE
VRYBURG
8601
1 CARD, EXCLUSIVE OFFERS
OVER 20 RETAIL BRANDS
Account customers are automatically
TFG REWARDS members.
DATE REFERENCE DESCRIPTION AMOUNT
6 months revolving Opening balance 101,99
31 DEC. HO FNB electronic payment Payment 101,99 CR
Installment 0,00 due Closing balance 0,00
12 months revolving Opening balance 1 215,36
17 DEC. ASJ Zevenwacht Mall Purchase 3 750,00
19 DEC. ASJ Zevenwacht Mall Purchase 4 000,00
19 DEC. ASJ Zevenwacht Mall Purchase returned 3 750,00 CR
31 DEC. HO FNB electronic payment Payment 698,01 CR
12 JAN. My kitchen 26,70
12 JAN. Kids only 20,00
12 JAN. Interest 92,66
Installment 440,00 Due 38,37 Closing balance 4 656,71

My current What can I What is my By how much What is my

credit allocation spend? installment? am I in arrears? balance?
8 800,00 4 143,29 440,00 0,00 4 656,71
TOTAL DUE
CURRENT 30 DAYS 60 DAYS 90 DAYS
(BY 1ST)
38,37 0,00 0,00 0,00 38,37

[Adapted from a Markham's account]

17
ANNEXURE G
TAX CERTIFICATE INFORMATION (IRP5) OF MONTY FOR 2020/21 TAX YEAR (1 March 2020 to 28 February 2021).

TAX Certificate Information Certificate Number: 72307052142000000000092

Income Received Income Received (continued) Tax Credits and/ or Employer’s / Employee Contribution

Amount Source Code Amount Source Code SITE

R 377 643 3601 Non-Taxable Income R 0,00 4101
R 3696 PAYE
R 33 987 3817 Gross Retirement Income R 70 044,00 4102
R 3697 PAYE on lump Sum benefit
R 29 922 3810 Gross Non-Retirement Income R 0,00 4115
R 3698 Employee and Employer UIF Contribution
R Gross Taxable Income R 3 569,28 4141
R 441552 3699 Employer SDL Contribution
R R 0,00 4142
Deductions / Contributions / Information Total Tax, SDL and UIF
R R 73 613,00 4149
Amount Source Code Medical Scheme Fees Tax Credit
R R 33 987 4472 R 0,00 4116
R 62 310 4001 Additional Medical Expenses Tax Credit
R R 29 922 4005 R 0,00 4120
R 29 922 4474
R Reason for Non-Deduction of Employees Tax 4150
Total Deductions / Contributions / Information
R R 156 141 4497
Some Source Codes
4141 - UIF employer and employee contributions 4102 - PAYE
3810 - Company medical aid contribution 3601 - Normal salary income
4149 - Total PAYE / UIF / SDL contributions 3699 - Income that is taxable
4472 - Employer's pension fund contribution 4116 - Medical aid credits
4001 - Pension fund contributions
4005 - Employee's medical aid contribution to the medical aid scheme
[Adapted from original IRP5]

18
 ANNEXURE H

SUMMARY OF CAR AND HOUSEHOLD INSURANCE POLICY

Car & Household Insurance BiWay .[Link]

Client Number 22506623 Commencement Date 1 September 2013

Policy Number 23388350 Statement Date 30 August 2022

 Policyholder It's all about

you!
Name BOMVANA ID number 780801*******
Physical address 2* Patr*** S*r*et; R*s**l,Bl**d*w** Work number 021***8***
E-mail address we*******@[Link]
Mobile number 083***118*
Summary of Cover
Insured Items Premium
MiPersonal Accident R25 000 R7,16
MiWheels – Car 1 KIA PICANTO 1.1 LX -2004 R200,41
– Car 2 TOYOTA COROLLA 1.6 -2013 R520,41
– Car 3 FORD IKON 1.6i -2005 R133,16
– Car 4 VW POLO 1.0 TSI -2019 A
MiHome Content BOMVANA'S RESIDENTIAL ADDRESS R201,79
MiMovables R23,30
RoadCover R9,07
Total Discount For having the above noted multiple insured items on cover –R266,15

Total Monthly Premium (including 15% VAT) R2 184,21

Excess Value:
The excess is the amount payable by YOU to the service provider whenever you make a
claim.
The values below show the excess amount that you will have to pay in case of a specific
claim event.
 Accident and Intentional Damage R7 000,00
 Theft and Hijacking R7 000,00
 Window glass only claim (not glass forming part of roof) R1 490,00
 Earthquake, Storm, Hail, Flood and Snow R7 000,00
 Fire and Explosion R7 000,00
[Adapted from [Link]]

19
TAX

Tax
A compulsory levy imposed on citizen's earnings or purchases to fund the activities of
government.

Taxable
A service, purchase or item or earning that has tax applied to it.

Tax invoice
Printed record of what was bought, what it cost, what was taxable, the tax amount, method of
payment, amount tendered, and change due, if any.

Indirect tax
Tax which is levied on the income or profits of the person who pays it e.g. income tax

Direct tax
Tax which is levied on goods or services e.g. VAT

INCOME TAX
PAYE on a payslip stands for “pay as you earn”. This is the income tax that is deducted
directly from your salary every month. PAYE is compulsory for all employees. It is
calculated according to a set percentage based on your gross annual income. Tax is collected
by the South African Revenue Service (SARS).

Income Tax Tax paid on certain kinds of income such as wages and interest on
savings.
PAYE tax Pay as you earn income tax.
Employers deduct this income tax from employees’ gross wage or salary
every week or month, and pay it directly to SARS on behalf of
employees.
Tax threshold The income level at which someone has to start paying income tax.
Tax year The total amount of income tax a taxpayer must pay is calculated for each
year.
A tax year starts on 1 March and ends on 28/29 February.
The tax rates, rebates, deductions and so on that apply to taxpayers may
change from one tax year to the next.
Taxable Employers may pay back some work-related travel or accommodation
allowances expenses for employees.
These allowances are really extra income employees receive and they
may have to pay tax on these allowances.
Some allowances are tax-free. The rule for tax-free allowances can
changes each tax year.
Taxable The part of gross income on which tax must be paid.
income Taxable income = Gross income – Tax-deductible deductions
Gross income This is the amount of money earned before any deductions such as
medical aid, pension contributions, UIF, and PAYE are done.

20
Tax- Some amounts of money can be deducted from gross income before
deductible income tax is calculated.
deductions Such deductions can include UIF, pension and some subsistence
allowance (such as cost for food and accommodation).
Net salary Also known as ‘take home pay’.
This is the amount that is deposited into an employee’s bank account.
Net salary = Gross Salary – Deductions
UIF Unemployment Insurance Fund: A government-run insurance fund which
employers and employees contribute to, so that when employees are
retrenched they can collect some earnings (a portion).
It serves as a form of insurance, so that if you lose your job, you may
apply for UIF which is a small monthly pay out from the government.
Employers must pay 2% of each employee’s monthly pay towards UIF.
The employees and the employer each contribute 1%.
Exempt Types of income on which tax is not paid such as a birthday present of
income cash and certain business allowances.
(exemptions)
Fringe Extra goods or income an employee receives (such as free or subsidised
benefits housing and a company car) are taxable.
The amount of tax depends on the cash value of these benefits.
IRP5 form The tax return form that employers complete for employees.
These forms are sent directly to SARS.
Provisional People who are self-employed do not have PAYE from their income.
tax They pay provisional tax directly to SARS.
Tax bracket The category of taxable income in which a taxpayer’s income belongs.
Tax deduction Tax to deduct for people who earn different amounts of money. The
tables calculations have already been done, and the employer can look up the
amount in the table.
Tax rate The percentage of gross income that a taxpayer must pay as income tax,
for example if the rate is 13%, the tax payer must pay 13% of gross
income to SARS.
Tax rate Each tax year, the tax rates change for people in different tax brackets.
tables The tax rate table set out the percentage that apply to each tax bracket.
You can use these tables to calculate how much tax you must pay.

21
 EXAMPLE 1:

Stacey earns an monthly taxable income of R45 174,73 .

TABLE 1 below is a tax table that shows how much personal income tax she needs to pay.

TABLE 1: INCOME TAX RATES FOR INDIVIDUALS

2017 TAX YEAR (1 MARCH 2016–28 FEBRUARY 2017)
TAX TAXABLE
TAX RATES (R)
BRACKET INCOME (R)

1 0–188 000 18% of taxable income

2 188 001–293 600 33 840 + 26% of taxable income above 188 000
3 293 601–406 400 61 296 + 31% of taxable income above 293 600
4 406 401–550 100 96 264 + 36% of taxable income above 406 400
5 550 101–701 300 147 996 + 39% of taxable income above 550 100
6 701 301 and above 206 964 + 41% of taxable income above 701 300
[Adapted [Link]]

1. What does the acronym SARS stand for? (2)

2. Write down the minimum tax payable for tax bracket 3. (2)

3. Identify the tax bracket applicable to Stacey's taxable income. (3)

4. Calculate Stacey's annual taxable payable, excluding rebates. (5)

Solutions:
1. South African Revenue Service.

2. R61 269,00

3. R45 174,73 × 12
= R542 096,76

Tax bracket 4 / 406 401 – 550 100 / 96 264 + 36% of taxable income above 406 400

4. Steps to follow:
1. Make sure you have the ANNUAL TAXABLE INCOME (yearly amount)
2. Go to the TAX TABLE
3. Identified the TAX BRACKET
4. Use the TAX RATES (formula) to calculate annual income tax

= R96 264 + 36% (R542 096,76 – R406 400,00)

= R96 264 + 36% (R135 696,76)
= R96 264 + R48 850,8336
= R145 114,8336

= R145 114,83

22
EXAMPLE 2:
John is a 56 year old Head of Department at Mahlenga Secondary school situated in
Sokhulumi.
He earns a monthly salary of R27 876,80 plus a bonus that is equivalent to his monthly
salary.
He is contributing 7,5% of his basic salary toward GEPF.
He is also contributing towards the medical aid and has two dependants.

1. Calculate John's non-taxable income.

Non-taxable income: pension fund 7,5%; donations; Child support payments.
7,5 Calculate annual salary without bonus.
(R27 876,80 × 12) ×
100 (you do not pay pension on your bonus)
7,5
R334 521,60 × Calculate 7,5% GEPF.
100
= R25 089,12 GEPF: Government Employee Pension Fund

2. Calculate John's taxable income.

Annual income – non-taxable income.
(R27 876,80 × 12) + R27 876,80
= R362 398,40 Annual income [(monthly × 12) + bonus]

= R362 398,40 – R25 089,12

= R337 309,28

3. Calculate his medical credits.

[(R286,00 × 2) + R192,00] Main member, first dependant, additional
dependant
R764,00 × 12 Calculate yearly amount
R9 168,00

TABLE 2: INCOME TAX RATES FOR INDIVIDUALS

2017 TAX YEAR (1 MARCH 2016–28 FEBRUARY 2017)
TAX TAXABLE INCOME
TAX RATES (R)
BRACKET (R)
1 0–188 000 18% of taxable income
2 188 001–293 600 33 840 + 26% of taxable income above 188 000
3 293 601–406 400 61 296 + 31% of taxable income above 293 600
4 406 401–550 100 96 264 + 36% of taxable income above 406 400
5 550 101–701 300 147 996 + 39% of taxable income above 550 100
6 701 301 and above 206 964 + 41% of taxable income above 701 300

23
 TAX REBATE *MEDICAL TAX CREDIT RATES
2016/7 Per month (R) 2016/7
Primary R13 500 For the taxpayer who paid the R286
medical scheme contributions –
main member
Secondary (65 and older) R7 407 For the first dependant R286
Tertiary (75 and older) R2 466 For each additional dependant(s) R192

Note:*Medical Tax credits are only deducted after tax was calculated.

4. John claims that the monthly income tax he has to pay is less than R5 000,00.
Verify his claim.
If you have the ANNUAL TAXABLE
Taxable income = R337 309,28 1 INCOME follow the following steps:
1. Annual taxable income (yearly amount)
R61 296 + 31% of taxable income above 2. Tax table
R293 600 3 3. Identified tax bracket
4. Calculate income tax
R61 296 + 31% (R337 309,28 – R293 600,00) 5. Subtract rebate (s) and medical
31 credits (if any).
R61 296 + ( × R43 709,28)
100
R61 296,00 + R13 549,88
4
= R74 845,88

R74 845,88 – R13 500,00 – R9 168,00 5

= R52 177,88
R52177,88
12
= R4 348,16

Verify:
Yes, John is correct, since R4 348,16 is less - confirm through calculation
than R5 000,00. - validate and justify

24
ACTIVITY 1

Dean, a 25-year-old male, earns an annual taxable income of R305 174,44.

He started his first job on 1 March 2019.

Tax payable by an individual for the tax year 1 March 2019 to 29 February 2020 is indicated
in TABLE 1 below.

TABLE 1: INCOME TAX RATES FOR INDIVIDUALS

2019/2020 TAX YEAR (1 MARCH 2019 TO 29 FEBRUARY 2020)
TAX TAXABLE
TAX RATES (R)
BRACKET INCOME (R)
1 0–195 850 18% of taxable income
2 195 851–305 850 35 253 + 26% of taxable income above 195 850
3 305 851–423 300 63 853 + 31% of taxable income above 305 850
4 423 301–555 600 100 263 + 36% of taxable income above 423 300
5 550 601–708 310 147 891 + 39% of taxable income above 555 600
6 708 311–1 500 000 207 448 + 41% of taxable income above 708 310
7 1 500 001 and above 532 041 + 45% of taxable income above 1 500 000
[Adapted from [Link]/Rapport]

NOTE: Dean is not a member of a medical aid.

Use TABLE 1 to answer the questions that follow.

1.1 Name the government institution responsible for collecting tax return forms. (2)

1.2 Write down the tax bracket that will be used to calculate Dean's tax payable. (2)

1.3 Calculate the monthly tax payable by Dean before any rebates are deducted. (5)

1.4 TABLE 2 below indicates the rebates for the 2018/2019 and 2019/2020 tax
years.

TABLE 2: REBATES FOR 2018/2019 AND 2019/2020 TAX YEARS

TAX TAX YEAR TAX YEAR
REBATES 2019/2020 2018/2019
Primary (age below 65) R14 067 R14 220
Secondary (age 65 and above) R7 713 R7 794
Tertiary (age 75 and older) R2 574 R2 601
[Adapted from [Link]/Rapport]

(a) Identify the tax rebate(s) that Dean qualifies for in the 2019/2020 tax year. (2)

(b) State the number of tax rebates a 75-year-old man will qualify for in any
tax year. (2)
[13]

25
ACTIVITY 2

Katlego (who is 24 years old) has two jobs: one at the PYEI and the other at a retail store.

He earned a combined annual taxable income of R87 329 for the 2021/2022 tax year.

TABLE 3 shows the personal income tax rates, tax rebates and tax thresholds for 2021/2022.

TABLE 3: PERSONAL INCOME TAX RATES, TAX REBATES AND TAX

THRESHOLDS FOR 2021/2022

TAX RATES 2021/2022

TAXABLE INCOME (R) RATES OF TAX (R)
R0–R216 200 18% of each R1
R216 201–R337 800 R38 916 + 26% of the amount above R216 200
R337 801–R467 500 R70 532 + 31% of the amount above R337 800
R467 501–R613 600 R110 739 + 36% of the amount above R467 500

TAX REBATES 2021/2022

Primary (below 65) R15 714
Secondary (65 and older) R8 613
Tertiary (75 and older) R2 871

TAX THRESHOLDS 2021/2022

Below age 65 R87 300
Age 65 to age 74 R135 150
Age 75 and older R151 100
[Adapted from [Link]]

Use TABLE 3 and the information above to answer the questions that follow.

2.1 Calculate Katlego's annual tax payable for the 2021/2022 tax year. (4)

2.2 Define the term tax rebate. (2)

2.3 Show that the tax threshold for age 65 to age 74 in the table is CORRECT. (5)
[11]

26
ACTIVITY 3
Mrs Zwele is a 55 year old deputy principal who earns a monthly taxable income of
R33 375,00. She is not a member of a medical aid scheme.

Mrs Zwele does not receive a 13th cheque or bonus.

TABLE 4 below is a tax table that shows how much personal income tax she needs to pay.

TABLE 4: INCOME TAX RATES FOR INDIVIDUALS

2016/2017 TAX YEAR (1 MARCH 2016 - 28 FEBRUARY 2017)
TAX TAXABLE
RATES OF TAX (R)
BRACKET INCOME (R)
1 0 – 188 000 18% of taxable income
2 188 001 – 293 600 33 840 + 26% of taxable income above 188 000
3 293 601 – 406 400 61 296 + 31% of taxable income above 293 600
4 406 401 – 550 100 96 264 + 36% of taxable income above 406 400
5 550 101 – 701 300 147 996 + 39% of taxable income above 550 100
6 701 301 and above 206 964 + 41% of taxable income above 701 300
[Adapted from [Link]]
TAX REBATES:
Primary R13 500
Secondary (65 and older) R7 407
Tertiary (75 and older) R2 466
LL

Use TABLE 4 and the information above to answer the questions that follow.

3.1 What does the acronym SARS stand for? (2)

3.2 Determine the number of months the tax table is valid for. (2)

3.3 Determine Mrs Zwele's annual taxable income. (2)

3.4 Identify the tax bracket applicable to Mrs Zwele's taxable income. (2)

3.5 Mrs Zwele states that she should pay less that R6 500,00 tax per month if she
was 10 years older.
Verify showing all calculations if she is correct. (8)
[16]

27
ACTIVITY 4
David's average monthly taxable income is R8 978,00, which includes monthly interest
earned on his investments.

He does not earn any bonuses nor is he a member of a medical aid fund.

TABLE 5 below shows the income tax table for the 2022/23 tax year and the tax rebates
over a three-year period.

L TABEL 5: 2022/23-BELASTINGJAAR (1 Maart 2022–28 Februarie 2023)

JAARLIKSE BELASTINGKOERSE (R)
BELASBARE
INKOMSTE (R)
A 1–226 000 18% van belasbare inkomste
B 226 001–353 100 40 680 + 26% van belasbare inkomste bo 226 000
C 353 101–488 700 73 726 + 31% van belasbare inkomste bo 353 101
D 488 701–641 400 115 762 + 36% van belasbare inkomste bo 488 700
E 641 401–817 600 170 734 + 39% van belasbare inkomste bo 641 400
F 817 601–1 731 600 239 452 + 41% van belasbare inkomste bo 817 600
G 1 731 601 en meer 614 192 + 45% van belasbare inkomste bo 1 731 600
[Aangepas uit [Link]]

Use TABLE 5 and the information above to answer the questions that follow.

4.1 Identify which income tax bracket will be used to calculate David's annual tax. (3)

4.2 David claims that he should NOT be paying any income tax.

Verify, showing ALL calculations, whether his claim is valid. (6)

[09]

28
ACTIVITY 5

James is a 25 year old teacher, employed by his School's Governing Body (SGB). He is
currently busy doing his taxes.

TABLE 6 and TABLE 7 below shows the rates of taxes for individuals for the 2017/18 and
2018/19 tax year.

TABLE 6: 2017/18 TAX YEAR (1 MARCH 2017 – 28 FEBRUARY 2018)

Taxable income (R) Rates of tax (R)
0 – 189 880 18% of taxable income
189 881 – 296 540 34 178 + 26% of taxable income above 189 880
296 541 – 410 460 61 910 + 31% of taxable income above 296 540
410 461 – 555 600 97 225 + 36% of taxable income above 410 460
555 601 – 708 310 149 475 + 39% of taxable income above 555 600
708 311 – 1 500 000 209 032 + 41% of taxable income above 708 310
1 500 001 and above 533 625 + 45% of taxable income above 1 500 000
Primary rebate: R13 365,00

TABLE 7: 2018/19 TAX YEAR (1 MARCH 2018 – 28 FEBRUARY 2019)

Taxable income (R) Rates of tax (R)
0 – 195 850 18% of taxable income
195 851 – 305 850 35 235 + 26% of taxable income above 195 850
305 851 – 423 300 63 853 + 31% of taxable income above 305 850
423 301 – 555 600 100 263 + 36% of taxable income above 423 300
555 601 – 708 310 147 891 + 39% of taxable income above 555 600
708 311 – 1 500 000 207 448 + 41% of taxable income above 708 310
1 500 001 and above 532 041 + 45% of taxable income above 1 500 000
Primary rebate: R14 067,00
[Adapted from [Link]]

Use TABLE 6 and TABLE 7 to answer the questions that follow.

5.1 James's taxable income for 2018/19 is R17 500,00 per month.

Identify the income tax bracket into which James falls based on his annual income. (2)

5.2 Calculates James's monthly income tax for the 2017/18 financial year, if his taxable
income was R198 245,00.

PLEASE NOTE:
No medical credits are considered. (6)
[08]

29
ACTIVITY 6

Marius, who is 64 years old, earned an annual taxable income of R551 762,00 for the 2019/20
tax year. During the 2019/20 tax year Marius was not a member of any medical fund.
TABLE 8 below shows the tax table for the 2019/20 tax year.
TABLE 8: TAX RATES FOR 2019/20 TAX YEAR (1 Mar. 2019 to 28 Feb. 2020)
TAX TAXABLE RATES OF TAX (R)
BRACKET INCOME (R)
1 1–195 850 18% of taxable income
2 195 851–305 850 35 253 + 26% of taxable income above 195 850
3 305 851–423 300 63 853 + 31% of taxable income above 305 850
4 423 301–555 600 100 263 + 36% of taxable income above 423 300
5 555 601–708 310 147 891 + 39% of taxable income above 555 600
6 708 311–1 500 00 207 448 + 41% of taxable income above 708 310
7 1 500 001 and above 532 041 + 45% of taxable income above 1 500 00
[Adapted from [Link]]

TABLE 9 below shows the tax rebates and medical credits for the 2019/20 tax year.
TABLE 9: TAX REBATES AND MEDICAL AID CREDITS FOR THE
2019/20 TAX YEAR
TAX REBATE
Primary R14 220
Secondary (65 and older) R7 794
Tertiary (75 and older) R2 601
MEDICAL CREDITS PER MONTH FOR MEDICAL FUND MEMBERS
Main member R310
First dependent R310
Each additional dependent R209
[Adapted from [Link]]gfdddd

Use TABLE 8 and TABLE 9 to answer the questions that follow.

6.1 Identify which tax bracket Marius falls in, based on his taxable income. (2)

6.2 Calculate the amount of tax Marius must pay for the 2019/20 tax year. (5)

6.3 Marius stated that if he had been one year older, he would have saved more than R600
monthly on taxes paid during the 2019/20 tax year.

Verify, showing ALL calculations whether his statement is CORRECT (6)

6.4 Marius is considering joining a medical fund. He plans to include his wife and two
grandchildren.
Determine the total monthly medical credits he would qualify for if he joined a
medical fund. (4)
[17]

30
ACTIVITY 7

Mr Louw, aged 53, earned an annual taxable income of R495 602 for the year ending 28
February 2022. He does not contribute to any medical aid.

Use the above information to answer the questions that follow.

7.1 The following formula can be used to calculate annual tax payable before the rebate:

Annual Tax Payable before the rebate

= R115 762 + [36% × (annual taxable income – 488 700)]

Use this formula to calculate Mr Louw's annual tax payable before the rebate. (3)

7.2 Mr Louw feels that the monthly tax table is an easier option for him to calculate his
monthly tax payable.

TABLE 10 below shows the monthly deductions for three income categories for the
year ending 28 February 2022.

TABLE 10: MONTHLY DEDUCTION TAX TABLE FOR THREE INCOME

CATEGORIES FOR THE YEAR ENDING 28 FEBRUARY 2022
Monthly Income Tax payable per age group
Under 65 6574 Over 75
R41 241R41 291 R8 473 R7 723 R7 473
R41 292R41 342 R8 491 R7 741 R7 491
R41 343R41 393 R8 510 R7 760 R7 510

The monthly rebate for a person younger than 65 years old is R1 368,75.

Verify, showing ALL calculations, whether his monthly tax will be correct according
to the monthly deduction table. (6)

7.3 Write down the probability of selecting a monthly tax amount of R8 473 for a person
over 75 years from this monthly tax table. (2)
[11]

31
 VALUE ADDED TAX (VAT)

1. Value Added Tax (VAT) is a tax that is levied at 15% (currently in South Africa)
on most goods and services, as well as on the importation of goods and services
into South Africa.
The Minister of Finance announced during the Budget Speech in February 2018 that
VAT will increase from 14% to 15% in the 2018/2019 financial year.

VAT is not charged on some essential groceries in South Africa for example:
paraffin; brown bread; maize meal; samp; mielie rice; dried mielies; dried beans;
lentils; tinned sardines (pilchards); milk powder; milk; rice; vegetables; fruit;
vegetable oil, eggs and sanitary products.

2. VAT exclusive price is the price before VAT is added.

100
VAT exclusive price = VAT inclusive price 
115

3. VAT inclusive price is the price after VAT is added.

115
VAT inclusive price = VAT exclusive price 
100

4. VAT = VAT inclusive price - VAT exclusive price

VAT = Value Added Tax (15%)

Price excluding VAT Price including VAT Price including VAT Price excluding VAT

The price, excluding VAT, of a 900 mℓ bottle of The price, including VAT, of a 900 mℓ bottle of
shampoo is R82,61. shampoo is R95,00.
Calculate the price including VAT of the same Calculate the price excluding VAT of the same
bottle of shampoo. bottle of shampoo.

Price without VAT = 100% Original + VAT

VAT
R95,00 = 100% + 15% = 115%
R95,00 = 115%
= 100% + 15% = 115% VAT included
To go back to the amount excluding VAT you must
multiply (×) by the opposite:
To calculate the amount including VAT, the final
amount must be higher (greater), so you must ×:
100 115 100
 R95,00 = 
115 100 115
115 100
= R82,61    R95, 00
100 115

= R95,0015 2 decimal places = R82,6086956522 2 decimal places

= R95,00 = R82,61

32
NB!!! – Price excluding VAT is NOT minus (–) 15%
There is no such method where 15% is calculated and subtracted.

What is the difference between VAT-exempt and zero-rated?

Zero-rated goods are not taxed during sale, but producers can claim a credit for the value-
added tax paid on inputs.
On the other hand, exempt goods are not taxed either, but producers cannot get a credit for
the VAT paid on inputs.

EXAMPLE:
Tyron makes a gift basket containing the following items

ITEMS (per unit) SELLING PRICE

Bar-One R10,04
Peppermint Crisp R8,70
Kit Kat R20,66
Cadbury 80 g chocolate slab R6,73
Empty basket R29,99

The selling price includes 15% VAT.

1. Determine the price of each item excluding VAT. (5)

2. Determine the total cost price of a gift basket, excluding VAT. (2)

3. Determine the total amount of VAT on a gift basket. (3)

Solutions:
1. 100
R10,04 × = R8,730434783 R8,73
115
100
R8,70 × = R7,565217391 R7,57
115
Money must be
100
R20,66 × = R17,96521739 R17,97 rounded to
115 2 decimal places!
100
R6,73 × = R5,852173913 R5,85
115
100
R29,99 × = R26,07826087 R26,08
115

2. = R8,73 + R7,57 + R17,97 + R5,85 + R26,08

= R66,20

3. R76,12 – R66,20
= R9,92

33
ACTIVITY 1

The price list given below shows the price for different types of clocks. Study the price list
and answer the questions that follow.

CLOCK A CLOCK B
Including VAT: R3 350,00 Excluding VAT: R220,00

CLOCK C CLOCK D
Excluding VAT: R2 100,00 Including VAT: R5 950,00

123
[Adapted from [Link]]

1.1 What does the acronym VAT stand for? (2)

1.2 At what percentage (%) is VAT levied (charged)? (2)

1.3 Calculate the cost price of CLOCK A and D, excluding VAT. (4)

1.4 Calculate the selling price of CLOCK B and C, including VAT. (4)

1.5 Determine the amount of VAT that will be paid on each clock. (4)
[16]

34
ACTIVITY 2

A sleeper couch is advertised at Mega Shop as below.

PRICE PRICE
Was Now

R2 699 R1 999
(including VAT) (excluding VAT)
CAYMAN
Sleep Couch
l

Use information above to answer the questions that follow.

2.1 Show that the couch's original price excluding VAT was R2 346,96. (3)

2.2 Show with calculation that a customer is expected to pay R2 299 including
VAT when purchasing the couch at SALE price. (3)
[06]

ACTIVITY 3

ANNEXURE I shows an invoice of the cellphone contracts taken out by

Mr Fortune.

Use ANNEXURE I to answer the questions that follow.

3.1 State the number of cellphone contracts shown on this invoice. (2)

3.2 Name the cellphone contract which shows the most expensive device. (2)

3.3 Show how the VAT amount of R142,95 was calculated. (2)

3.4 Calculate the missing value A. (2)

[08]

35
ANNEXURE I

CELLPHONE CONTRACT INVOICE

Customer Care
Cellphone Account Tel: +27083245 Tel:123(free from
cellphone)
E-mail: customercare@[Link]
Website: [Link]

Mr SJ Fortune Invoice date 17-01-2021

5 Second Avenue Account Number BA4536782C
Zone 2 Payment Method Direct Debit
Smelderado Due Date 01-03-2021
2463 Arrears R0,00

Summary of charges for your ABC plan:

ABC Made For You S Contract date: 13-03-2019 to 12-03-2021

Description From To Amount excl. VAT

Device 17-12-2020 16-01-2021 260,87
ABC made for You S 17-01-2021 16-02-2021 94,78

Subtotal: (excl. 15% VAT) R 355,65

ABC made for You XS Contract date: 13-05-2019 to 12-05-2021

Description From To Amount excl. VAT

Device 17-12-2020 16-01-2021 R173,91
ABC made for You 17-01-2021 16-02-2021 R86,09
XS

Subtotal: (excl. 15% VAT) R260,00

Your ABC Choice 5GB Contract date: 19-08-2019 to 18-08-2021

Description From To Amount excl. VAT

Device 17-12-2020 16-01-2021 R165,22
Your ABC Choice 17-01-2021 16-02-2021 R172,13
5GB

Subtotal: (excl. 15% VAT) R337,35

VAT total 15% R142,95

Total amount due for current period (VAT incl.) A

36
ACTIVITY 4
ANNEXURE A on page 12 shows a home loan statement and transaction history for the
period 1 March 2017 to 28 February 2018.

PLEASE NOTE:
 The loan period is 20 years.

VAT increased on 1 April 2018 from 14% to 15%. If the initial fee were to be
calculated on 1 April 2018, how much more would the borrower had to pay as a
result of the increased VAT? (3)
[03]

ACTIVITY 5

ANNEXURE H on Page 19 shows a summary of Bomvana's Vehicle and Household

Insurance Policy.

Use ANNEXURE H to answer the question that follow.

Calculate the amount of VAT included in the total monthly premium. (3)
[03]

ACTIVITY 6

David is a 68-year-old man who works at a grocery store in Swellendam.

ANNEXURE B on page 13 shows an extract of David's Bank Statement for the

period 1 November 2022 to 1 December 2022. Some amounts have been omitted.

Use ANNEXURE B to answer the question that follow.

The fixed monthly service fee of R110,00 on 30/11/2022 includes VAT of 15%.

The same service fee, excluding VAT, was charged on 30/11/2017.

Determine the service fee amount, including VAT, that would have been paid on
30/11/2017. (5)
[05]

37
ACTIVITY 7

Roadside Tours and Travel Agency made a booking at a guesthouse for 36 work
colleagues to attend a conference in Upington.

The guesthouse offers rooms with 2 beds and 4 beds for accommodation.

ANNEXURE E on page 16 shows an invoice that Roadside Tours and Travel Agency
received from the guesthouse.

The total amount for accommodation and meals were paid for in advance.

Use ANNEXURE E to answer the question that follow.

The accommodation cost includes 15% VAT.

Determine (excluding VAT) the price for a person per night in a 2-bed room. (3)
[03]

38
TARIFF SYSTEMS
A tariff is the amount at which a single unit for a service is charged e.g.
Cell phone – per minute or per second
Electricity - per kilowatt-hours
Water – per kilolitre

Many household accounts are based on tariffs.

These accounts are always for the previous month, because the service is not paid for in
advance.

WATER TARIFFS

 Water usage is measured in kilolitre (kℓ)

 The cost of water is determined according to a sliding scale. The more water you use,
the higher the rate charged.
 VAT (Value Added Tax) is charge on water cost.

Calculate the VAT (15%) inclusive water Cost, if 38 kℓ of water was used.

 Water cost according to this tariff structure DO NOT mean that if you use 38 kℓ of
water then you calculate it according to a flat rate, namely:
38kℓ × 69,10 = R2 625,80. This is TOTALLY WRONG ×

Tariff summary Tariff - Rand per kilolitre

(in kilolitre) (VAT exclusive)
0 – 6 kℓ × 15,50
More than 6 – 10kℓ × 22,25
More than 10 – 35 kℓ × 31,45
More than 35 kℓ × 69,10

39
First calculate the kℓ per interval:
THE CORRECT CALCULATION USING THE SLIDING SCALE: 

SUBTRACT TO THE TOP!!!!

Each interval has its own tariff:

Bottom Tariff
Tariff summary Amount
subtract Rand per kilolitre Amount
(in kilolitre) of kℓ
Top (VAT Exclusive)

0 – 6 kℓ 6-0 6 × 15,50 = R93,00

6 – 10 kℓ 10 - 6 4 × 22,25 = R89,00

10 – 35 kℓ 35 - 10 25 × 31,45 = R786,25

More than 35 kℓ (38 kℓ) 38 - 35 3 × 69,10 = R207,30

TOTAL 38 kℓ = R 1 175,55

Add the kilolitres used to make sure you calculated correctly.

6 + 4 + 25 + 3 = 38 kℓ

115
VAT inclusive = R 1 175,55 
100
= R1 351,88

40
ELECTRICITY TARIFFS
1. Electricity is charged per kWh (KiloWatt – hour) in cents or rand.
2. Electricity can also be charged according to a sliding scale or it can be charged at a
flat rate.
3. If charged according to a sliding scale, use the same procedure as explained in water
tariffs.

Calculate in Rand the electricity costs for the following monthly consumption:
1.1 200 kWh in 2019
1.2 380 kWh in 2018
Electricity purchase blocks for 20 Amp Tariff (cent / kWh)
2018 2019
Block 1 0 – 350 kWh 105,36 108,76
Block 2 More than 350 kWh (>350) 119,00 122,30

Convert tariffs or total cost in cents to rand by dividing by 100.

(Reason: There’s 100 cents in 1 Rand)

Convert 108,76c to rand

= 108,76÷ 100
= R1,0876
`
1.1
Electricity purchase blocks for 20 Amp Tariff (cent / kWh)
2019
Block 1 0 – 350 kWh 200 × 1,0876 = R217,52
Block 2 More than 350 kWh (>350)

1.2
Electricity purchase blocks for 20 Amp Tariff (cent / kWh)
2018
Block 1 0 – 350 kWh 350 × 1,0536 = R368,76
Block 2 More than 350 kWh (>350) 30 × 1,1900 = R 35,70
TOTAL 380 = R404,46

This is an example of a flat rate:

A local municipality charges 124,5c / kWh (VAT inclusive) for pre-paid electricity.
Calculate how many units in kWh a household will get if R500 of pre-paid electricity
is purchased.

Pre-paid charges in rand = R1,245

Number of units = R500 ÷ R1,245
≈ 401,606 units

41
CELL PHONE DATA TARIFFS:
John needs data to do research. She finds one of the providers is offering internet usage
according to the following rates:
OPTION 1 OPTION 2
500 MB (megabytes) 1 GB (gigabyte, 1 000 MB = 1 GB)
Fixed monthly cost R150 R200
Additional monthly 50c for every MB used over 50c for every MB used over 1 GB
cost 500 MB

Conversion of GB to MB:
1 000 MB = 1 GB

John needs to choose between OPTION 1 and OPTION 2

OPTION 1 can be represented by the following formula:
Cost (in Rand) = 150 + 0,5 × (number of megabytes used – 500)
Calculate the cost of using 900 MB on OPTION 1.

Cost (in Rand) = 150 + 0,5 × (number of megabytes used – 500)

= 150 + 0,5 × (900 – 500)
= 350

The following table shows the monthly cost for OPTION 2.

Monthly Cost for OPTION 2:

Number of MB
0 600 800 1 000 1100 1500 1800
used each month
Cost (In Rand) 200 200 200 200 250 450 A

Calculate the value of A.

A = 200 + 0,5 × (1 800 – 1 000)
= 200 + 0,5 × (800)
= R600

42
ACTIVITY 1: ELECTRICITY TARIFFS
TABLE 1 below shows the Emfuleni Local Municipality domestic electricity tariffs during
a low season period.
TABLE 1: EMFULENI LOCAL MUNICIPALITY DOMESTIC
ELECTRICITY TARIFFS (R) FOR 2016/17
Household
All tariffs are 15% VAT exclusive
Block 1 0 –50kWh R0,9015 per kWh
Block 2 51–350kWh R1,0161 per kWh
Block 3 351– 600kWh R1,3594 per kWh
Block 4 above 600 kWh R1,6314 per kWh
[Source: [Link]]

1.1 Show with calculations, the amount paid for using 400 kWh of electricity. (4)

1.2 Calculate the amount (to two decimal places) for a customer who used
183,9745 kWh of electricity in Block 3. (3)
[07]

ACTIVITY 2: ELECTRICITY TARIFFS

Miecke purchased prepaid electricity and received the following till slip.
Note that some information has been omitted.
TAX INVOICE VAT NO. 4420106777
*** PREPAID ELECTRICITY ***
Electricity Municipal Prepaid
VAT REGISTRATION NO. 4370102313
Meter: 07032985769

DOMESTIC HOUSEHOLD TARIFF

Transaction Sequence No.: 56332515

Amount R1 300,00
Units *** kWh

Electricity R1 130,43
VAT 15% B
TOTAL R1 300,00

[Adapted from original till slip]

Use the information above to answer the questions that follow.

2.1 Write down the meter number. (2)

2.2 Determine the missing value, B. (3)

43
2.3 A partial residential electricity tariff table (excluding VAT) is shown below.

TABLE 3: RESIDENTIAL ELECTRICITY TARIFF

BLOCK CONSUMPTION TARIFF
(kWh) (R/kWh)
Block 1 0–350 2,19
Block 2 More than 350 2,91

Determine the number of kWh units Miecke purchased. (7)

[12]

ACTIVITY 3: MUNICIPAL TARIFFS

The sanitation tariffs for Johannesburg and Cape Town are presented in TABLE 2.

Johannesburg uses the area of a property to determine the sanitation bill. Cape Town uses a
percentage of the total water usage to determine the sanitation bill (the same way as they
calculate the water bill.)

TABLE 2 shows the tariffs of Johannesburg (excluding VAT) and Cape Town (including
VAT).

TABLE 2: SANITATION TARIFFS FOR JOHANNESBURG AND CAPE TOWN

JOHANNESBURG: SANITATION TARIFFS – DOMESTIC (VAT excl.)
 Up to and including 300 m2 R228,06
 Larger than 300 m2 to 1 000 m2 R443,96
 Larger than 1 000 m to 2 000 m
2 2
R671,63
 Larger than 2 000 m2 R967,71

CAPE TOWN: SANITATION TARIFFS – DOMESTIC (VAT incl.)

USAGE TARIFF INCREASE FROM
PREVIOUS
 04,2 kℓ R16,03 per kℓ R0,66 increase per kℓ
 4,27,35 kℓ R22,02 per kℓ R0,91 increase per kℓ
 7,3524,5 kℓ R30,92 per kℓ R1,28 increase per kℓ
 24,535 kℓ R48,65 per kℓ R2,01 increase per kℓ
[Adapted from [Link] and [Link]]

NOTE: Sanitation refers to waste water that is drained from a household.

Use the information above to answer the questions that follow.

3.1 Write down, to the nearest ten cents and excluding VAT, the cost for sanitation
in Johannesburg if a property is 175 m2. (2)

3.2 Calculate the cost for 4,1 kℓ sanitation in Cape Town before the increase. (4)

44
3.3 Mr Jones lives in Johannesburg and Ms Brown lives in Cape Town. They both
own a property with an area of 550 m2 and each was billed for 22 kℓ sanitation.

Use the table above to determine the difference in the cost of sanitation for the
two properties. (8)

3.4 Explain how the tariff system used in Johannesburg is beneficial to

home owners in terms of water usage. (2)
[16]

ACTIVITY 4: MUNICIPAL TARIFFS

Mr Douw lives in the Dawid Kruiper municipal area. The 2020/2021 residential water
tariffs of the Dawid Kruiper Municipality in the Northern Cape are shown in TABLE 3.

TABLE 3: RESIDENTIAL WATER TARIFFS OF

DAWID KRUIPER MUNICIPALITY 2020/2021
Tariff (c/kℓ - cent per kilolitre)
Tariff summary (in kilolitre)
Excluding 15% VAT
Block 1 0 kℓ – 6 kℓ 719
Block 2 More than 6 kℓ – 18 kℓ 1038
Block 3 More than 18 kℓ – 50 kℓ 1747
Block 4 More than 50 kℓ 2300
[Adapted from [Link]

Use TABLE 3 to answer the questions that follow.

4.1 Explain the term tariff in the above context. (2)

4.2 The total cost of water usage for Mr Douw for the month was R3 109,88
(excluding VAT).
Calculate the cost, including VAT of the water usage. (2)

4.3 Mr Douw moved to a different house with a pool that needs to be filled with
25 kℓ of water.

He stated that it will cost him less than R360 (including VAT) to fill the pool.

Verify, by showing ALL calculations, whether Mr Douw's statement is correct. (6)

[10]

45
ACTIVITY 5: TELEPHONE TARIFFS

Sean has to choose between different cell phone packages (monthly billing).
TABLE 4 below shows the tariffs in each package.

TABLE 4: DIFFERENT TARIFFS IN EACH PACKAGE

Peak call cost only (with monthly billing fee included)
10 min / month 15 min / month 30 min / month 60 min / month
Package 1 R56,30 R75,80 R134,30 R251,30
Package 2 R56,70 R72,50 R119,90 R214,70

Off-peak voice call cost only (with monthly billing fee included)
10 min / month 15 min / month 30 min / month 60 min / month
Package 1 R26,30 R30,80 R44,30 R71,30
Package 2 R32,50 R27,20 R38,30 R69,50

Use TABLE 4 to answer the questions that follow.

5.1 Use the Answer Sheet to draw all four graphs on the same set of axes. (8)

5.2 Identify the cheapest option if Sean chooses the 60 minutes Peak call package. (2)

5.3 Describe the trend of the Off-peak call packages. (2)

[12]

46
 ANSWER SHEET: CALL COST

280

260

240

220

200

180
AMOUNT IN RAND

160

140

120

100

80

60

40

20

0
10 15 30 60

DURATION (MIN. PER MONTH)

Package 1 off- peak tariff

47
ACTIVITY 6: BANK TARIFFS

Katlego is employed at a school by the Presidential Youth Employment Initiative (PYEI).

He earns a salary of R4 000 per month.

He presently has a NEDBANK Pay-as-you-use Account but is thinking of changing to a

CAPITEC Global One Account.

TABLE 5 below shows the transactional fees for the two banks.

TABLE 5: TRANSACTIONAL FEES OF TWO BANKS

BANK FEES
TRANSACTION TYPE NEDBANK CAPITEC
(Pay-as-you-use) (Global One)
Deposits (ATM) R1,30 per R100 R1,30 per R100
Deposits (Branch) R80 + R2,30 per R100 R4,00 per R100

Cash withdrawals R9,00 per R1 000 R8 per R1 000

(own ATM) (or a part thereof) (or a part thereof)
Cash withdrawals R11 + R2,30 per R100 R10 per R1 000
(other ATM) (or a part thereof) (or a part thereof)
Cash withdrawals (branch) R80 + R2,30 per R100 N/A
Debit order (internal) Free Free
Debit order (external) R5,00 R1,50
Send cash (R1–R1 000) R10,00 R8,00
Send cash (R1 001–R5 000) R15,00 R16,00
Airtime/Data/Electricity (own ATM) R1,50 R0,50
Airtime/Data/Electricity (other ATM) R10,00 R8,00
[Adapted from [Link] and [Link]]

Use TABLE 5 and the above information to answer the questions that follow.

6.1 Give ONE reason why banks charge more for branch deposits than ATM
deposits. (2)

6.2 Determine the difference in cost of an external debit order using a Nedbank
Pay-as-you-use account and a Capitec Global One account. (2)

6.3 Katlego had the following monthly transactions on his bank statement:
 Two external debit orders
 One cash withdrawal of R1 500 at own bank ATM
 One cash withdrawal of R450 at another bank ATM
 One Send cash transaction of R1 500 to his mother

The CAPITEC banking fees for the listed transactions are R45,00.
Katlego states that he would have saved R20,50 on bank fees if he banked
with CAPITEC rather than NEDBANK.

Verify, showing ALL calculations, whether Katlego's statement is VALID.

(7)
[11]

48
ACTIVITY 7: TRANSPORT TARIFFS

Dukes owns a fleet of three passenger-type cabs (taxi cars) in the USA that he uses
as Uber for transporting people according to the model of car needed.
Transportation is operated using TWO options as shown below.
Option 1:
UPFRONT fare = base fare (call-out fee) + (number of miles × per mile fare)
Option 2:
POST-TRIP fare = (number of minutes × per minute fare) + (number of miles ×
per mile fare)

TABLE 6 below shows the different passenger-type cars and their respective rates in
CHICAGO for both UPFRONT and POST-TRIP fare options, including an example
of a 10,5-mile trip using the UPFRONT fare option.
TABLE 6: RATES FOR TRANSPORT CARS BY TYPE IN CHICAGO FOR
UPFRONT AND POST-TRIP FARE OPTIONS
PASSENGER CAR BY TYPE
COST Hatchback Sedan SUV
Base fare (call-out fee) $0,00 $ 18,00 $22,87
Per minute fare $1,15 $ 0,55 $ 1,60
Per mile fare $1,90 $ 4,05 $ 7,85
*Minimum fare $14,98 $15,00 $40,00
Cancellation fee $5,00 $10,00 $15,00
Total fare (for a 10,5 - mile trip using the
UPFRONT option) $19,95 $60,53 UL
[Adapted from [Link]/uber-rates,2023]
*Minimum fare: the lowest fare one would be charged per trip.
Note: Uber is a transportation company with an APP that enables one to book a cab
to get from point A to point B.

Use TABLE 6 and the information above to answer the questions that follow.

7.1 Calculate the missing value UL. (3)

7.2 Calculate (rounded off to the nearest mile) the maximum distance for which a
person can use the Hatchback if you pay the minimum upfront fare. (4)

7.3 Explain the importance of a cancellation fee for the Uber service provider. (2)

7.4 The user travelled a 30-mile distance with Sedan. The post-trip fare option
was used, and the trip took 1 hour and 45 minutes to complete.
The user stated that she would have saved more than $20,00 if she had used the
upfront fare option.
Show, with calculations, whether her statement is correct. (8)
[17]

49
INCOME, EXPENDITURE, PROFIT/LOSS AND BUDGET

An INCOME AND EXPENDITURE STATEMENT is a list of actual income and

expenditure.

A BUDGET is a plan for using income to cover expenses. It is a list of expected (estimated)
income and expenditure.

INCOME
• Salary – monthly earnings from an employer
• Wages – weekly earnings from an employer
• Commission – money earned for selling
• Profit – extra money gained on sales of goods and services
• Gifts
• Financial assistance
• Rental income for a property

EXPENSES
• Living expenses
• Accounts
• Telephone
• Insurance
• Personal taxes
• Loan repayments
• Savings
• Salaries and wages
• Business running expenses

Types of Income or Expenses:

• Fixed means it does not change with time. Constant rand value per month.
• Variable means it changes over time, according to the situation. Rand value differs every
month.
• Occasional means it occurs from time to time. Not always received or paid.

Profit and Loss

 Profit is when your income is a bigger than your expenditure i.e. income >expenses.
 ⸫ You will have money left over at the end of the month/ a surplus.
 Loss is when your expenses are bigger than your income i.e.
expenses > income.
⸫ you will not have enough money to cover your bills / you will be in debt/ have a
deficit of money.

 The general formula used to determine if a profit or loss was made is:
PROFIT/LOSS = Income − Expenditure
 If the answer is positive, a profit was made.
 If the answer is negative, a loss was made.

50
 When we want to compare the profit and income, we calculate the profit margin; as
this provides a means for comparing business performance over different time
intervals:
profit
Profit Margin   100%
income

 To compare the relationship between the profit and cost price, we calculate the
percentage profit:
profit
% Profit   100%
cost price

51
ACTIVITY 1

Complete the TABLE, by completing the empty (blank) blocks.

Income is money coming into a household / business/ government.

Fixed Income Constant income of same rand Personal
value per month
Business

National / Global

A changing income of a Personal Commission, interest on savings

different rand value per month
Business Sales, service rendered, interest
on savings
National / Global Taxes, levies, interest on
savings, licenses, permits, fines

Occasional Personal
Income
Business

National / Global

Expenditure / Expenses is money being spent or money going out of the household / business /
government.
An expenditure that is the same Personal Car repayment, rent, school fees,
every month medical aid contribution
Business Car repayments, loan
repayments, insurance, rent,
salaries / wages
National / Global Loan repayments, insurance,
rent, salaries / wages

Variable An expense that changes every Personal

Expenditure month
Business

National / Global

Occasional Personal Burst geyser, broken car, school

Expenditure outing
Business Broken car, broken machinery

National / Global Strikes

52
ACTIVITY 2

Goitsemodimo is an insurance saleslady and earns a basic salary of R12 000 per month
plus a commission. In September 2024 she expects to make R22 000 in commission plus
R8 120 bonus.

Her monthly expenses are as follows:

 Rent = R 8 500
 Fuel = R2 500
 Electricity = R800
 Monthly gym membership = R350
 Car payment = R 4 600
 Insurance = R1 975
 Cell phone = R800
 Groceries = R3 000
 Entertainment = R1 700
 Water usage = R400
[Adapted from [Link]

Use the information above to answer the questions that follow.

2.1 Use the provided ANSWER SHEET to construct Goitsemodimo's

September 2024 budget. (6)

2.2 Express Goitsemodimo's:

(a) ratio of entertainment expenses to rent expenses in the from 1: … (2)

(b) variable expenses as a percentage of her basic salary. (4)
[12]

53
ANSWER SHEET

GOITSEMODIMO'S BUDGET FOR SEPTEMBER 2024

INCOME in Rand (R) EXPENSES in Rand (R)

TOTAL = …………. TOTAL = …………

54
ACTIVITY 3

During 2021 the Sol Plaatje municipality released its adopted budget for the 2021/22
financial year.

An extract from the Sol Plaatje municipality adopted budget for the 2021/22 financial year
is given in ANNEXURE A.

Councillors argues that their remuneration did not increase by more than 35%.
Some of the amounts have been omitted.
[Adapted from [Link]

Use ANNEXURE A above to answer the questions that follow.

3.1 Name the item with the highest income for the Sol Plaatje municipality. (2)

3.2 Calculate the difference between the total revenue of the pre-audit outcome
and the original budget. (2)

3.3 Calculate the total expected income from water and electricity service charges
for 2022/23 in billions. (3)

3.4 Show how the surplus amount, R294 959 000, of the original budget was
calculate. (2)

3.5 Determine the missing value B, rounded to the nearest hundred thousand. (3)
[12]

55
 ANNEXURE A
ACTIVITY 3
AN EXTRACT FROM THE SOL PLAATJE MUNICIPALITY BUDGET FOR THE 2020/21
FINANCIAL YEAR (AMOUNT IN THOUSANDS)
Description 2021/22 Medium Term
Current Year
2018/19 2019/20 Revenue & Expenditure
2020/21
Framework
Budget Budget Budget
R thousand Audited Audited Original Pre-audit
Year Year +1 Year +2
Outcome Outcome Budget outcome
2021/22 2022/23 2023/24
Revenue By Source
Property rates 512 886 555 073 584 108 504 877 603 707 647 214 702 111
Service charges: electricity 552 454 664 828 766 232 551 567 861 157 952 511 1 038 966
Service charges: water 236 691 258 618 278 626 236 470 294 012 314 138 333 503
Service charges: sanitation 67 424 73 119 71 175 67 400 76 648 81 626 86 434
Service charges: refuse 48 780 52 564 53 984 58 990 59 567 63 433 67 799
Rental of facilities 11 092 11 427 B 10 114 13 145 13 809 14 569
Interest earned 151 431 150 995 164 000 (12 018) 166 200 167 204 166 983
Dividends received - - - - - - -
Fines, penalties and forfeits 36 982 31 614 33 345 17 744 34 725 36 553 38 563
Licences and permits 6 319 5 863 6 100 6 878 6 500 6 858 7 235
Agency services 576 - - - - - -
Transfers an subsidies 192 110 214 815 224 542 233 105 230 640 241 544 243 434
Other revenue 16 309 18 108 18 008 16 301 19 411 20 453 21 558
Gain 577 417 - 4 843 - - -
Total Revenue 1 833 631 2 037 441 2 212 560 1 696 271 2 365 712 2 545 343 2 721 155
Expenditure By Type
Employee related costs 688 565 652 922 814 281 583 598 836 388 885 627 934 849
Remuneration of councillors 28 388 30 367 33 023 25 158 34 547 36 275 38 270
Debt impairment 205 848 232 991 249 000 124 504 275 000 293 600 310 648
Asset impairment 61 697 69 409 73 550 - 79 150 84 325 89 218
Finance charges 25 790 30 582 23 542 13 687 22 261 20 963 19 501
Bulk purchases – electricity 459 678 515 937 562 500 386 368 647 000 724 640 797 104
Inventory consumed 45 612 48 468 - 38 931 279 331 297 748 321 102
Contracted services 42 342 38 346 44 948 24 230 46 687 49 173 51 770
Transfers and subsidies 3 940 2 733 6 060 1 984 4 850 4 952 5 060
Other expenditure 90 334 100 987 110697 113 029 119 770 126 960 132 387
Losses 514 569 - - - - -
Total Expenditure 1 652 708 1 723 311 1 917 601 1 311 489 2 344 984 2 524 263 2 699 809
Surplus/(Deficit) 180 923 314 130 294 959 384 782 20 728 21 080 21 346

56
ACTIVITY 4

Dean's mother, Ella, started her own instant photography business by taking photographs on
the beach. She has a camera, but needs to buy a printer, photo paper and ink cartridges for
printing.

Canon Selphy CP100 photo printer Canon photo paper + 3 print cartridges

Price = R1 125
[Adapted from [Link] and [Link]]

TABLE 1 shows Ella's income and expenses for producing and selling up to
200 photographs.

TABLE 1: INCOME AND EXPENSES OF ELLA'S PHOTOGRAPHY

BUSINESS
NUMBER OF
PHOTOGRAPHS 0 25 50 80 100 125 150 170 200
Income (rand) 0 500 1 000 1 600 2 000 2 500 3 000 … 4 000
Expenses (rand) 1 125 1 250 1 375 A 1 625 1 750 1 875 1 975 2 125
[Adapted from [Link]]

Use TABLE 1 above to answer the questions that follow.

4.1 Determine the selling price of ONE photograph. (2)

4.2 Write down the formula that could be used to calculate the total income
received. (2)

4.3 The total expenses can be calculated using the following formula:

Expenses (in rand) = 1 125 + number of photographs × 5

(a) Write down the variable cost for taking ONE photograph. (2)

(b) Calculate missing value A. (3)

57
4.4 ANNEXURE B shows two graphs, X and Y, which can be used to represent
the business.

Use ANNEXURE B to answer the following questions.

(a) Give a suitable heading for the graphs that were drawn. (2)

(b) State which graph (X or Y) represents the income received by the

business. (2)
[13]

ANNEXURE B

QUESTION 4.4

4 500

4 000 X

3 500

3 000
Amount in rand

2 500

Y
2 000

1 500

1 000

500

0
0 50 100 150 200

Number of photographs

58
ACTIVITY 5

Lee's parents plan to celebrate his 21st birthday. This special event will be held at a popular
hotel, starting at 18:00.

TABLE 2 below shows some of the budgeted expenses for the party.

TABLE 2: BUDGETED EXPENSES FOR THE PARTY

Cost of the venue R750 deposit and R6 185 for the day
Food and drinks R18 000
Birthday cake R1 250
OPTIONS FOR DISC JOCKEYS (DJs)
R4 000 for 5 hours or less.
DJ Rain
Thereafter the tariff is an additional R1 250 per hour.
DJ 5-Star R1 000 per hour or part thereof
DJ Cool R6 000 for the party
[Adapted from [Link]>venues & [Link]]

Use TABLE 2 and the information above to answer the questions that follow.

5.1 The table below represents the cost to hire DJ Rain.

TABLE 3: COST TO HIRE DJ RAIN PER HOUR

Number
1 2 3 4 5 6 7 8 9
of hours
Cost
4 000 4 000 P 4 000 4 000 Q 6 500 7 750 R
(in R)

(a) Write a formula to calculate the cost to hire DJ Rain for more than 5 hours
in the following form:

Cost = … (3)

(b) Complete the table by calculating the missing values P, Q and R. (4)

5.2 The graphs showing the costs to hire DJ 5-Star and DJ Cool are shown on the
ANSWER SHEET.

(a) Name the type of graph used to represent the cost to hire DJ 5-Star. (2)

(b) Use TABLE 3, showing the cost to hire DJ Rain for up to 9 hours, to
draw a line graph on the same grid on the ANSWER SHEET. (4)

5.3 Lee's parents decide to hire DJ 5-Star for the 21st birthday party.
DJ 5-Star will provide the music entertainment from 18:00 until 01:30.

Determine the total budgeted expenses for the party. (5)

59
5.4 Give ONE reason why Lee's parents did not choose DJ Cool. (2)
[20]

ANSWER SHEET
ACTIVITY 5

TABLE 3: COST TO HIRE DJ RAIN PER HOUR

Number of
1 2 3 4 5 6 7 8 9
hours
Cost (in R) 4 000 4 000 P 4 000 4 000 Q 6 500 7 750 R

60
ACTIVITY 6 - NATIONAL BUDGET

During the last budget speech on 28 February 2017, Minister Pravin Gordon released the
National Budget for South Africa for the 2017/2018 budget year. Study TABLE 3 and answer
the questions that follow.

TABLE 4: GOVERNMENT EXPENDITURE BY FUNCTION

R (in million) 2016/2017 2017/2018 2018/2019 2019/2020
Estimate Estimate Estimate Estimate
Basic Education 226 643 242 968 261 292 280 139
Health 170 888 187 483 201 377 217 131
Defence, Public Order and 190 036 198 702 210 814 224 956
Safety
Post-school Education and 68 952 77 550 80 856 89 839
Training
Economic Affairs 201 658 215 047 227 995 244 003
Municipal Infrastructures 179 834 195 751 210 170 226 402
Total General Public 69 977 70 695 72 462 75 616
Services consisting of:
 Executive and legislative
organs 12 976 14 340 15 202 16 089
 General public
administration 45 185 43 943 44 584 46 775
 External affairs and foreign
aid 11 816 12 412 12 677 12 752
Agriculture, Land Reform 25 998 26 534 27 923 29 826
Social Protection 164 936 180 046 193 548 209 088
Allocated by function 1 298 923 1 394 776 1 486 437 1 597 001
[Source: [Link]]

Use TABLE 4 above to answer the questions that follow.

6.1 Which function was allocated the most money in this budget? (2)

6.2 Write down the ratio of funds allocated for Basic education to funds allocated
for Post School Education and Training for 2016/2017 in the form 1 : …. (2)

6.3 Show how the projected expenditure of R70 695 million for General Public
Services was calculated for the 2017/2018 budget year. (2)

6.4 Calculate the percentage of the expenditures that was allocated to Economic
Affairs in the 2016/2017 budget year. (3)

6.5 Calculate the increase (in Rand) for the estimated expenditures of Basic
Education from the 2017/2018 budget year to the 2019/2020 budget year. (3)
[12]

61
ACTIVITY 7

TABLE 5 shows the financial overview of Swellendam Municipality (in R'000),

including the income and expenditure, the original budgeted amount, the adjusted
budgeted amount and the actual amount.

Due to over- or under-spending, this original budgeted amount is reviewed during the
year and adjusted accordingly.

TABLE 5: FINANCIAL OVERVIEW OF SWELLENDAM MUNICIPALITY

INCOME R'000
Original
Adjusted Actual
DETAILS budgeted
budgeted amount amount
amount
Grants 71 396 111 769 68 286
Taxes, levies and tariffs 180 456 … 180 702
Other 61 940 48 152 68 594
TOTAL 313 792 340 688 317 582
EXPENDITURE R'000
Original
Adjusted Actual
budgeted
budgeted amount amount
amount
TOTAL 322 891 316 678 Z
NET SURPLUS/DEFICIT R'000
Original
Adjusted Actual
budgeted
budgeted amount amount
amount
TOTAL (9 099) 24 010 Y
[Adapted from Annual Report Swellendam Municipality]

Use TABLE 5 above to answer the questions that follow.

7.1 Identify the item that was overbudgeted for by more than R40 million. (2)

7.2 Determine the adjusted budgeted amount for the taxes, levies and tariffs. (3)

7.3 Give a reason why the amount (9 099) is shown in brackets. (2)

7.4 Show how the total net surplus/deficit amount for the original budgeted
amount was calculated. (3)

7.5 The actual total expenditure (Y) shows a net surplus amount of 2,53% of the
total income.

Show, by means of calculations, that the table value of the actual amount for
the total expenditure (Z) to the nearest whole number is R309 547. (4)
[14]

62
COST PRICE, SELLING PRICE, PROFIT / LOSS, BREAK-EVEN
ANALYSIS

Cost price: The price at which goods are or have been bought by a merchant or retailer. It is
the total amount of money that it costs a manufacturer to produce a given
product or provide a given service.
The cost price consist of:
 Production cost – cost in manufacturing the product e.g. labour, raw materials
 Operating costs – cost involved in the daily running of the business e.g. rent, water,
Stationary

Selling Price: The price at which goods or services are sold by the seller to the buyer. The
market value of the product.

Profit: A financial gain, especially the difference between the selling price (income) and the
cost price (expenses). Income is bigger than the expenses.
Income > Expenses

Loss: When the expenses are more than the income.

Income < Expenses

Break-even point: Income = Expenses, no profit or loss is made. Where the income and
expenses graphs intercept.

63
Cost price + Profit = Selling price
Cost price Selling price Selling price Cost price
The Cost price of a pack of chips is R12,06. The Selling price of a pack of chips is R17,25.
The percentage profit on the pack of chips is 43%. The percentage profit on the pack of chips is 43%.
Calculate the Selling price of the pack of chips. Calculate the Cost price of the pack of chips.

Cost price (without profit) = 100% Selling price = Cost price + Profit

Profit
R17,25 = 100% + 43% = 143%
R17,25 = 143%
= 100% + 43% = 143% Selling price
To go back to the Cost price you must multiply (×) by
the opposite:
To calculate the Selling price the final amount must be
higher (greater), so you must ×:
100 143 100
 R17,25 = 
143 100 143
143 100
= R12,06    R17, 25
100 143
= R17,2458 2 decimal places = R12,0629370629 2 decimal places
= R17,25 = R12,06

REMEMBER:

COST PRICE = 100%

SELLING PRICE = Cost price + %profit
= 100% + %profit
PROFIT = Selling price ̶ Cost price

64
ACTIVITY 1

Bobby got the idea of selling biryani from his niece Janet who has her own
takeaway business in South Africa.

Janet's variable cost to make one plate of chicken biryani is R13,00.

Her fixed cost amounts to R600.
[Adapted from [Link]]

Use the information above to answer the questions that follow.

1.1 Janet uses the equation below to calculate her total cost:

Total cost = R600,00 + 13 p, where p = number of plates.

Use the equation to determine the number of plates sold if the total cost
was R1 380,00. (4)

1.2 TABLE 1 below shows Janet's total cost and income from selling different
numbers of plates of biryani.

TABLE 1: INCOME AND COST OF SELLING DIFFERENT

NUMBERS OF PLATES OF BIRYANI
NUMBER OF 0 10 30 50 70 90 100
PLATES
INCOME (R) 0 250 750 1 250 1 750 2 250 2 500
COST (R) 600 730 990 1 250 1 510 1 770 1 900

The income graph has already been drawn on the attached ANSWER SHEET.

Use TABLE 1 and the same grid on the ANSWER SHEET to draw another
line graph representing the cost of different numbers of plates of biryani. (3)

1.3 Determine the minimum number of plates of biryani that Janet must sell before
she starts making a profit. (2)
[09]

65
66
ACTIVITY 2

Vusi Galeni decided to travel to The United States of America to watch a theatre production
in the iconic Broadway Theatre in New York.

Two of the most popular souvenirs bought there, are the Theatre binoculars and a Broadway
Theatre snow globe.

To manufacture the snow globes, they have a fixed cost of US$17 000 and a variable cost of
US$40 per snow globe.

Broadway Theatre Binoculars New York Broadway - Snow Globe

Selling Price - $50,00 Selling Price - $100,00

[Adapted from [Link]]

The production cost for the binoculars is given by the following formula:

Production cost of binoculars (in US$) = 10 000 + 15 × number of binoculars

TABLE 2 below shows the production cost and income for selling the theatre binoculars (in
US dollars).

TABLE 2: Production cost and income for selling theatre binoculars (in US dollars).
Number of binoculars 0 100 400 A 800 1 000
Production cost 10 000 11 500 16 000 19 750 C 25 000
Income 0 5 000 B 32 500 40 000 50 000

Use TABLE 2 and the information above to answer the questions that follow.

2.1 Calculate the missing values A, B and C. (6)

2.2 The Broadway Souvenir shop stated that they will have a total income of
$175 000 if they sell 900 binoculars and 1 100 snow globes.

Verify by means of calculations if this statement is accurate. (4)

67
2.3 The graph of the total income for selling the theatre binoculars is drawn on the
ANSWER SHEET. On the same system of axes provided on the ANSWER
SHEET, draw another line graph that represents the total production cost for
manufacturing the theatre binoculars. (4)

2.4 The following two line graphs shows the total production cost and total
income from selling snow globes.

Cost and income of the Snow Globes

100
90
80
Amount in thousands ($)

Graph A
70 Graph B
60
50
40
30
20
10
0
0 200 400 600 800 1000
Number of snow globes

(a) Which graph represents the total production cost for the snow globes?
Give a brief explanation to justify your answer. (3)

(b) Determine the profit the Souvenir Shop makes if they sell 600 snow
globes. (3)
[20]

68
ANSWER SHEET

ACTIVITY 2.3

TOTAL INCOME AND TOTAL COST OF PRODUCTION AND

SELLING OF THEATRE BINOCULARS(TB)
60

50
ITB

40
Amount in thousands ($)

30

20

10

0
0 100 200 300 400 500 600 700 800 900 1000
Number of theatre binoculars

KEY: ITB = Income from selling theatre binoculars (TB)

69
ACTIVITY 3

3.1 Susan intends selling cups of Milo at the local taxi rank for extra money. Milo is a
nutritious supplementary drink developed to provide active people with key vitamins
and minerals.

ANNEXURE A shows the advertisement from her local store where she intends to
buy her stock.

Use ANNEXURE A to answer the questions that follow.

3.1.1 Determine the unit price when purchasing Milo option 2. (3)

3.1.2 Determine the total cost of 6 ℓ of milk. (2)

3.1.3 Explain the meaning of the word cost price. (2)

3.1.4 Susan decided to exclude the cost of water when calculating the cost price
per cup of Milo.

TABLE 3 below shows how Susan calculated the cost price of ONE cup
of Milo.

TABLE 3: COST PRICE OF ONE CUP OF MILO

QUANTITY COST OF AMOUNT COST PER
BOUGHT INGREDIENTS USED FOR CUP OF
ONE CUP MILO
1 kg Milo R97,95 0,04 kg A
1 ℓ milk R11,99 B R1,20
2,5 kg sugar R33,20 0,01 kg R0,13
25 foam cups C ONE R1,78
50 spoons R12,75 ONE R0,26
TOTAL COST D

(a) Calculate A, the cost of Milo per cup. (2)

(b) Determine B, the amount of milk, in litres, used for ONE cup of
Milo. (2)

(c) Write down the value of C, the cost of 25 foam cups. (2)

(d) Show that the cost of ONE cup of Milo, D, is R7,29. (2)

3.1.5 Determine the selling price of ONE cup of Milo if Susan's intended
profit margin is 25%. (4)

70
3.2 Susan started her business one month later and because of the price increase of
products, it then cost her R9,50 to make ONE cup of Milo. She calculated that the daily
fixed cost was R90,00 and she would be able to sell 100 cups of Milo per day. She will
sell the Milo at R12,50 per cup.

Use the information above to answer the questions that follow.

3.2.1 TABLE 4 shows the income from the sale of cups of Milo.
TABLE 4: INCOME FROM THE SALE OF CUPS OF MILO
Number of cups of
0 20 30 40 80 100
Milo (n)
Income in rand (R) 0 250 375 P 1 000 1 250

(a) Determine the value of P in TABLE 4 above. (2)

(b) Write down an equation that can be used to calculate the income. (2)

(c) Identify the independent variable in TABLE 4. (2)

3.2.2 Susan uses the following formula to determine the cost price of the cups of
Milo.
Cost = R90,00 + R9,50 × n where n = number of cups of Milo
TABLE 5 shows the cost price for a number of cups of Milo.
TABLE 5: COST PRICE OF A NUMBER OF CUPS OF MILO
Number of cups of 0 20 30 Q 80 100
Milo (n)
Cost price in rand (R) 90 280 375 612,50 850 1 040
(3)
Calculate the value of Q in TABLE 5 above.

3.2.3 The graph on the ANSWER SHEET shows the total income for making
up to 100 cups of Milo.
Use the information in TABLE 5 to draw another graph representing the (3)
cost from the selling of up to 100 cups of Milo.

3.2.4 Use the tables or graphs on the ANSWER SHEET to answer the
following questions.

(a) Explain the meaning of the word break-even in the context of the
question. (2)

(b) Determine the number of cups of Milo at the break-even point. (2)
[35]

71
ANNEXURE A

ACTIVITY 3.1

PRICES AT A LOCAL STORE

MILO OPTION 1 PLASTIC SPOONS

R97,95 per unit R12,75 for

50 plastic spoons
1 unit = 1 kg

MILO OPTION 2 SUGAR

R1 140,95 for R33,20 per unit

12 units × 1 kg 1 unit = 2,5 kg

FOAM CUPS MILK

R1,78 for R11,99 per unit

1 foam cup
1 unit = 1 ℓ

[Adapted from [Link]]

72
ANSWER SHEET

ACTIVITY 3.2.3

INCOME AND COST GRAPHS OF MAKING AND SELLING CUPS OF MILO

1300
Income

1200

1100

1000

900

800
Amount in rand

700

600

500

400

300

200

100

0
0 20 40 60 80 100
Number of cups of Milo

73
ACTIVITY 4

4.1 The Swartz family received news that their daughter was selected to go on a
sports tour to Bloemfontein. They compared the in-store and online prices of
two supermarkets for items needed to prepare meals for the bus tour.

TABLE 6 below shows the in-store and the online prices of P&P store and
W&W store for some items.

TABLE 6: PRICE (IN RAND) OF TWO STORES

IN-STORE VS ONLINE PRICES
P&P STORE W&W STORE
In-store Online In-store Online
ITEMS price price price price
R R R R
Apples 16,50 16,50 14,99 21,99
Bread 6,50 6,99 11,95 13,45
Cabbage 10,99 10,99 12,99 12,99
Coca-Cola 13,50 15,99 15,95 15,95
Eggs 12,95 12,95 20,99 20,99
Cake flour 32,99 30,99 13,95 14,95
Mealie-meal 17,49 17,48 18,95 19,95
Margarine 17,95 16,95 23,99 23,99
Milk 22,79 22,79 27,95 27,95
Rice 18,29 18,29 22,95 24,95
Sugar 23,90 26,99 29,95 29,95
Tea 14,89 14,89 15,95 15,95
Delivery 50,00 50,00
Total 208,74 261,80 230,56 293,06
[Adapted from [Link]]

Use TABLE 6 above to answer the questions that follow.

4.1.1 Determine the number of items where the in-store and online prices are
the same for the W&W store. (2)

4.1.2 A one-way trip to the P&P store is R15 per person.

Calculate how much Mrs Swartz would be saving if she bought all the
items listed in the table directly from the store rather than shopping
online. (4)

74
4.2 The Swartz family also decided to buy and resell doughnuts in packets of four
in order to fund the tour. They sourced the prices of doughnuts at four stores.

Their target was to sell 100 packets of doughnuts. The fixed cost for the buying
and re-packaging of the doughnuts was R201,00.

The graphs for the income and expenses for the buying, re-packaging and
selling of the packets of doughnuts, as well as the store prices of the doughnuts,
are given in ANNEXURE B.
[Adapted from [Link]]

Use ANNEXURE B and the information above to answer the questions that follow.

4.2.1 Write down the name of the store that offers the third lowest price. (2)

4.2.2 The total cost for buying and re-packaging 50 packets of doughnuts is
R701,00.

Determine, with calculations, from which store they bought the

doughnuts. (6)

4.2.3 Mr Swartz stated that the break-even point was reached before the sale
of 20 packets.

State, with a reason, whether you agree or disagree with his statement. (3)

4.2.4 If the selling price increased, write down, with a reason, whether the
break-even point would now be lower or higher. (3)

4.2.5 Determine the percentage profit they would make if all 100 packets of
doughnuts were sold.

You may use the formula:

𝐓𝐨𝐭𝐚𝐥 𝐈𝐧𝐜𝐨𝐦𝐞 − 𝐓𝐨𝐭𝐚𝐥 𝐄𝐱𝐩𝐞𝐧𝐬𝐞𝐬

Percentage profit = × 100% (4)
𝐓𝐨𝐭𝐚𝐥 𝐄𝐱𝐩𝐞𝐧𝐬𝐞𝐬
[24]

75
 ANNEXURE B

ACTIVITY 4.2

P&P store W&W store SPR store FLM store

(R4,99 each) (R5,95 each) (R3,49 each) (R2,50 each)

2 500 Doughnut Sales  Income and Expenses

2 000
2 000
1 800

1 600

1 500 1 400
Cost in rand

1 200

1 000 1 201
1 000 1 101
1 001
800
901
801
600
701
500 601
400
501
301
201 401

200
0
0 10 20 30 40 50 60 70 80 90 100
Number of packets sold

76
 DATA HANDLING

PLEASE NOTE:
It is of utmost importance that you study and know the definitions e.g. mean, mode and
range. The definition already explains the calculation that must be done.

Data is raw information that has been collected, without any organization of analysis. It is
unprocessed.

Data Handling refers to the process of collecting, organizing, summarising, representing and
analyzing information. It means gathering and recording information and then presenting it in
a way that is meaningful to others.

Data is a collection of numerical figures and information used in research.

Data handling involves the following processes:

Data Handling

Interpreting
Developing Collecting Summarising Classifying and Representing
and analysin
questions data data organising data data
data

DEVELOPING QUESTIONS
The first step in the statistical process is to develop or pose questions.
When developing/posing the question, you must first identify the main question, followed by
sub-questions.

EXAMPLE
Main question - what is the average monthly income of people in your community?
Sub-questions
In which age category do you fall?
In which sector/industry do you work?
What is your job title?
How long have you been working in this job?

ACTIVITY 1
Formulate 3 sub-questions for the main question below that will enable meaningful data
collection:
Are the expenses incurred for a Matric dance justified?

ACTIVITY 2
Formulate 3 sub-questions for the main question below that will enable meaningful data
collection:

77
How can your school's matric pass rate be improved?
COLLECTING DATA
Methods of collecting data:
1. Observation – e.g. counting the number of people entering a store. This is the method
of collecting data by watching and recording the results. The advantage of this method
is that you don’t interact with people to get the response.
2. Interview – e.g. asking your fellow learners their opinion of the design for your matric
jacket. The interviewer asks the interviewee questions and records the response. The
advantage of this method is that the interviewer may ask further questions if the
response is vague.
3. Survey – e.g. leaners complete a questioner on cool drink perverseness for the tuck
shop. A questionnaire is a tool used to conduct a survey and can be completed online,
in person, by telephone etc. Questions should not be long and must be clear. Answer
must also be concise. Questionnaires must be anonymous and confidential.
Questionnaires should be short and simple and not bias. This is a list of questions used
to collect data from the respondents. Participants do not have to identify themselves.
The advantage of using this method is that you get the information directly from the
participants.

Population – the entire group of interest e.g. all the leaners at school.
Sample – a representative part of the population e.g. randomly selects a number of people per
grade. A sample must be representative, randomly chosen, large enough and free from bias.

ACTIVITY 1
Susan will be managing the new tuck shop at your school, so she decided to hand out
questionnaires to the learners in order to do market research.
Draw up a questionnaire Susan can use in order to gather the information she requires.

ACTIVITY 2
A researcher is interested in the effect on a high sugar snack on the energy levels of primary
school learners. A group of 250 primary school learners were selected. Half are tested while
consuming the high sugar snack and the other half are tested without consuming the snack.
2.1 Identify the population
2.2 Identify the sample

78
CLASSIFYING DATA
Organising data is taking information and arranging it into some kind of order (such as
ascending or descending order).

Classifying data means organising it in groups or classes, based on some common feature.

CATEGORICAL DATA:
 are generally more descriptive in nature as they are classified into categories.
 data is usually observed but not measured.
 examples: textures, smells, tastes, gender, eye colour and country of birth.
 categorical data can consist of a “yes” or “no” answer.

NUMERICAL DATA:
 refers to data consisting of quantities or numerical values.
 examples include: dimensions e.g. length, height, area, volume, etc.
 numerical data can be classified as discrete data or continuous data.

DISCRETE DATA: CONTINUOUS DATA:

A set of values that can be counted e.g. Data that is measured, e.g.
 the number of children in a family  the height of a learner
 the number of cars in a car park  the time it takes to complete a race
 money

79
SUMMARISING DATA

MEASURES OF CENTRAL TENDENCY

 Mean (average)
 Median
 Mode

TABLE 1 below shows the estimated provincial livestock numbers during an auction in
August 2020 and February 2021 for the nine provinces in South Africa.

TABLE 1: ESTIMATED PROVINCIAL LIVESTOCK NUMBERS

IN SOUTH AFRICA (AUG. 2020 AND FEB. 2021)
ESTIMATED LIVESTOCK NUMBERS
PROVINCE Cattle Sheep Goats
Aug. '20 Feb. '21 Aug. '20 Feb. '21 Aug. '20 Feb. '21
Western Cape 466 466 2 545 2 497 202 199
Northern Cape 419 418 5 182 5 079 448 446
Free State 2 054 2 023 4 330 4 362 215 211
Eastern Cape 3 050 3 059 6 513 C 1 991 1 968
KwaZulu-Natal 2 380 2 320 628 610 662 651
Mpumalanga 1 248 B 1 527 1 508 78 76
Limpopo 860 850 A 192 902 909
Gauteng 246 246 84 83 21 20
North West 1 576 1 545 596 585 651 641
Total 12 299 12 170 … ... ... 5 121
[Adapted from [Link]]

sum of all the values in the data set

Mean =
number of values in the data set
Calculate the average (mean) number of The provincial average (mean) number of
goats in August 2020. sheep in August 2020 was 2 401.
Calculate the missing value A in the table.
21 78 202 215 448 651 662 902 1 991 A 84 596 628 1 527 2 545 4 330 5 182
6 513
21+ 78 +...+ 902 +1991 A +84 + 596 +...+ 5182 + 6513
= 2 401 =
9 9
5 170 A + 21 405
= 2 401 =
9 9
= 574,4444444 number of goats = 9 9
 2 401 = A + 21 405 
whole number 1 9 1
= 574
9 × 2 401 = A + 21 404

21 609 = A + 21 405

21 609 – 21 405 = A
A = 204

80
Median = middle value of data set, if organized in ascending order (small to big)
 If uneven number of values in data set – use middle value

1 3 5 6 8
Median = 5

 If even number of values in data set – get average of 2 middle values

(add together and divide by 2)

1 3 5 7 8 9

57
Median = =6
2
Calculate the median number of cattle at the Determine the median number of cattle at the
auctions in August 2020. auctions in February 2021 if the total number
of cattle was 12 170.
246 419 466 860 1 248 1 576 2 054 246 418 466 850 1 545 2 023
2 380 3 050 2 320 3 059 B

Median = 1 248 12 170 = 246 + 418 + ... + 3059 + B

12 170 = 10 927 + B

12 170 –10 927 = B

B = 1 243

246 418 466 850 1 243 1 545 2 023

2 320 3 059

Median = 1 243

Mode = the value in the data set that appears the most
= there may be more than one mode or no mode at all

81
MEASURES OF SPREAD
 Range
 IRQ

Range = Maximum – Minimum / Largest value – Smallest value

Calculate the range of goats in Determine the value of C, the maximum
February 2021. number of sheep, if the range of the number
of sheep in February 2021 was 6 311.
20 76 199 211 446 641 651 909 83 192 585 610 1 508 2 497 4 362
1 968 5 079 C

Range = Maximum ¬ Minimum Range = Maximum ¬ Minimum

= 1 968 – 20
= 1 948
6 311 = C – 83

6 311 + 83 = C

C = 6 394

Quartiles = Quartiles divide the data set in 4 even parts. Follow these steps:
(Q)  Arrange the data from small too big.
 Q2 – is the same as the median. Thus divide the data set in 2 groups.
 Q1 - is die middle value in the group below the median or Q2
 Q3 - is the middle value in the group above the median or Q2
 Example A:

1 2 3 4 5 6 7 8 9 10 11

Q1 Q2 Q3

 Example B:

1 2 3 4 5 6 7 8 9 10 11 12 13 14
Q2
Q1 Q3

Q1 = 4 Q2 = 7,5 Q3 = 11

Interquartile = Q3 – Q1
range

82
 BOX AND WHISKER PLOT (DIAGRAM):
Box and whisker plots are graphical representations of the five-digit summary of a data set.
The five-figure summary:
1. Minimum value
2. Lowest quartile (Q1)
3. Median (Q2)
4. Third quartile (Q3)
5. Maximum value

Minimum Q1 Q2 Q3 Maximum

25% 50% 75%

20 30 40 50 60 70 80 90 100

Label all points before doing any calculations:

Minimum, Quartile 1, Quartile 2 (median), Quartile 3 and your Maximum.
Assign percentages (25%, 50% and 75%).
Watch out for outliers (values that are much higher or lower compared to the other values).

PERCENTILES (only for interpretation, not calculation)

Percentiles are the values that divides the data set into 100 equal parts

E.g. 1,2,3,4,5,6,7,8,9,10,11,12,13,14,15,16,17,18,19,20
30
The position of the 30th percentile: (n + 1)
100
(n = number of data in the data set)

30
(20 + 1) = 6,3
100

Q1 = 25th percentile, Q2 = 50th percentile, Q3 = 75th percentile

83
GROWTH CHATS
 Provides an indication of the typical weight, age and height growth patterns of
children and babies.
 The concept of percentiles is used in growth charts.
 The curves on the growth chart below represents the percentile values of the data
collected from different age groups.
 The growth chart is used to compare the BMI (body mass index) of a child to others
in his age group.
 This is also used to determine the health status of the baby.

EXAMPLES
1. What is the BMI of a 4 year old girl at the 95th percentile?
2. The couple’s 10 year old child has a BMI of 16 kg/m². Between which percentile
curve does her BMI lie?

Solutions:
1. Draw a vertical line upward from 4 years to the 95th percentile.
Draw a horizontal line across to find the relevant BMI.
The BMI is 18 kg/m².

2. Draw a vertical line upwards from 10 years.

Draw a horizontal line across from 16 kg/m².
Locate the percentile where the two lines meet.
Between the 25th and 50th percentiles.

84
ACTIVITY 1

TABLE 1 shows the results for selected subjects in the 2023 NSC examinations.

TABLE 1: RESULTS FOR SELECTED SUBJECTS

MATHEMATICAL PHYSICAL
MATHEMATICS
LITERACY SCIENCES

30% and above

30% and above

30% and above

% Achieved at

% Achieved at

% Achieved at
Total wrote

Total wrote

Total wrote
PROVINCE

Eastern Cape 50 658 80,6 43 021 57,4 31 894 75,0

Free State 20 223 89,7 12 845 69,9 10 339 80,2
Gauteng 84 337 86,3 42 773 69,1 32 317 77,9
Kwazulu-Natal 96 924 80,2 61 162 64,2 47 231 77,8
Limpopo 47 435 83,1 44 821 60,2 37 458 77,1
Mpumalanga 37 287 78,0 28 019 58,0 25 604 68,4
North West 28 840 82,3 11 126 66,7 B 76,4
Northern Cape 9 837 75,4 2 725 57,0 2 075 67,2
Western Cape 46 294 82,4 15 524 75,4 10 082 82,2
NATIONAL 421 835 82,3 262 016 63,5 -------- 76,2
[Adapted from NSC 2023 school subject report]

Use TABLE 1 and the information above to answer the questions that follow.

1.1 Write down the number of provinces that performed below the national average
pass percentage in Mathematical Literacy. (2)

1.2 Write down the modal pass percentage for Mathematical Literacy. (2)

1.3 Write the number of learners who wrote Mathematics in the Western Cape as a
percentage of the total number of learners who wrote Mathematics. (4)

1.4 Calculate the median percentage of learners that achieved 30% and above in
Physical Sciences. (3)

1.5 The average number of learners who wrote Physical Sciences in 2023 was
22 933.
Calculate, B, the number of learners that wrote Physical Sciences in
North West. (5)
[16]

85
ACTIVITY 2
The number of learners, teachers and schools in the school sector of South Africa is indicated
per province for 2016 in TABLE 2.

TABLE 2: LEARNERS, TEACHERS AND SCHOOLS PER PROVINCE IN

2016 IN THE SOUTH AFRICAN SCHOOL SECTOR
PROVINCES PUBLIC SCHOOLS PRIVATE SCHOOLS
LEARNERS TEACHERS SCHOOLS LEARNERS TEACHERS SCHOOLS
Eastern Cape 1 898 723 58 372 5 469 62 824 3 257 207
Free State 671 712 22 465 1 214 16 637 1 058 68
Gauteng 2 048 558 63 092 2 083 278 026 18 986 730
Kwazulu-Natal 2 808 137 84 810 5 895 69 407 4 989 247
Limpopo 1 706 725 51 650 3 867 58 830 2 768 151
Mpumalanga 1 046 234 34 034 1 725 28 118 370 122
Northern Cape 287 435 8 841 545 4 080 295 30
North West 811 340 24 876 1 471 19 207 1 232 63
Western Cape 1 063 349 33 254 1 450 53 223 4 264 237
South Africa 12 342 213 ... 23 719 590 352 37 219 1 855
[Adapted from:[Link]]

Use TABLE 2 and the information above to answer the questions that follow.

2.1 Which province had the most learners in private schools in 2016? (2)

2.2 Which provinces have less than the mean number of teachers per province for
public schools? (4)

2.3 Determine the median value of teachers per province for private schools. (2)

2.4 Calculate the range for the number of learners in public schools for all nine
provinces. (2)
[10]

86
ACTIVITY 3

TABLE 3 below shows the number of people per province working in TWO
workplaces, namely Usual Workplace (UWP) and Work From Home (WFH) for the
last quarter of 2020 and the first quarter of 2021.

TABLE 3: PEOPLE PER WORKPLACE BY PROVINCE

LAST QUARTER 2020 FIRST QUARTER 2021
(IN TEN THOUSANDS) (IN TEN THOUSANDS)
PROVINCES
UWP WFH Total UWP WFH Total
Western Cape 147,7 21,7 169,3 150,8 18,4 169,2
Eastern Cape 72,3 7,2 79,6 84,9 5,6 90,5
Northern Cape 24,2 0,5 24,7 23 0,5 23,5
Free State 56,9 3,2 60,1 53,4 2,9 56,3
KwaZulu-Natal 199,9 9,4 209,3 193,1 9,5 202,6
North West 46,4 2,4 48,8 51,3 3,1 54,4
Gauteng 342,4 36,6 379 365,9 33,1 399,0
Mpumalanga 93,8 5,8 99,6 98 5,7 103,7
Limpopo 91,4 6,3 97,7 95,6 4,7 100,3
TOTAL 1 075 --- 1 168,1 1 116 83,5 1 199,5
[Adapted from [Link]]

Use TABLE 3 above to answer the questions that follow.

3.1 Show how the total value of 83,5 for South Africa was calculated. (2)

3.2 Give ONE reason why the values in the table will differ from the actual workplace
values. (2)

3.3 Write down the number of people who worked at their usual workplaces (UWP) in
Gauteng during the first quarter of 2021. (2)

3.4 Give ONE example of a job that cannot be done by working from home. (2)

3.5 Calculate the mean number of people in the WFH category for South Africa in the
last quarter of 2020. (4)
[12]

87
ACTIVITY 4

People take flights daily, either locally, nationally or internationally.

TABLE 4 below shows the average daily flights taken in the top 10 countries, the top 10
aircraft operators for 2022 and the percentage (%) change from 2019. Some values have
been omitted.

TABLE 4: TOP 10 COUNTRIES AND AIRCRAFT OPERATORS

Average daily Average daily
flights flights
% AIRCRAFT %
COUNTRY
change OPERATORS change
2022 2022
from from
2019 2019
United Kingdom 4 728 – 20% Ryanair Group 2 566 + 9%
Germany 4 293 – 25% Easy Jet Group 1 347 – 20%
Spain 4 277 – 9% Turkish Airlines 1 249 – 7%
France 3 763 A Lufthansa Airlines 1 067 – 29%
Italy 3 201 – 12% Air France Group 952 – 21%
Turkey 2 634 – 8% KLM Group 709 – 18%
Netherlands 1 431 – 15% Wizz Air Group 667 + 13%
Greece 1 327 – 1% British Airways Group B – 30%
Norway 1 283 – 10% Vueling 547 – 10%
Switzerland 1 125 – 15% SAS Group 536 – 35%
[Adapted from [Link]/sites]

Use TABLE 4 above to answer the questions that follow.

4.1 Write down the aircraft operator whose average daily flights increased the most
since 2019. (2)

4.2 France operated 4 290 average daily flights in 2019.

Determine missing value A, rounded to the nearest whole number. (4)

4.3 Calculate the range for the % change from 2019 for the aircraft operators. (3)

4.4 Calculate missing value B, if the mean number of flights for aircraft operators for
2022 is 1 028,2. (2)
[11]

88
 REPRESENTING, INTERPRETING AND ANALYSING DATA
The following representations of data can be drawn:

Line graphs: In data handling we use

Broken line line graphs to show the
graphs relationship between Continuous data
two quantities. A line
graph is formed by using
lines to join data points
which have been mapped
on a grid. It is used to
show the change of
information over time.
A line graph shows the
trend between plotted
points.

Discrete data

Single bar A bar graph is used to

graphs represent data that is
sorted into categories.
Display data is compared
in categories. Each bar
shows the number of
items in that category
and there are spaces
Multiple
between the bars.
(double) bar
graphs

Compound
(stacked) bar
graphs

89
Histograms Histograms are different
from bar graphs in that
they represent continuous
data. Data that is
displayed on a histogram
is also grouped. There
are no spaces between
the bars.
Pie Charts Pie charts are circular
graphs, divided into
sectors. They are used to
show the parts that make
up a whole. They can be
useful for comparing the
size of relative parts. The
information is often
presented as percentages
that must add up to
100%. They are often
used in media to show
clear and important
differences, but they
cannot show shape and
spread of data.
Scatter plots A scatter plot is the most
useful graph for studying
the relationship
(correlation) between
two variables.

Box-and- Box and whisker plots

whisker plots are graphical
representation of the five
number summary of a set
of data.
The five number
summary:
Minimum value
Lower quartile (Q1)
Median (Q2)
Third quartile (Q3)
Maximum value

90
SCATTER PLOT
A scatter plot is the most useful graph for studying the relationship (correlation) between two
variables. It shows one of the variables on the horizontal axis and the other variable on the
vertical axis. The resulting scatter plot of points will show at a glance whether a relationship
exists. You cannot have more than two sets of data on a scatter plot.
A scatter plot can show:
• positive correlation
• negative correlation
• no correlation.

• When seeing patterns remember that the tighter together the points are clustered, the
stronger
the correlation between the variables you have plotted.
• If you find a pattern that slopes from the lower left to the upper right, this tells you that as x
increases, y also increases. This means there is a “positive” correlation between the two
variables.
• If you find a pattern that slopes from the upper left to the lower right, this tells you that as x
increases, y decreases. This means there is a “negative” correlation between the two
variables.

positive correlation no correlation negative correlation

91
ACTIVITY 5

The Departmental Head (DH) for sciences at Mbare high school is concerned with
the performance of the 40 learners in grade 12E.
He presented the results for Mathematics and Physical Sciences using the
box-and-whisker plots shown below.

GRADE 12E MATHEMATICS AND PHYSICAL SCIENCE RESULTS

MATHEMATICS
21 30 44 56 66

PHYSICAL
SCIENCES
50 56 66 77 92

20 30 40 50 60 70 80 90 100
[Adapted from original mark sheets]

Use the box-and-whisker plots above to answer the questions that follow.

5.1 Write down the difference between the highest and the lowest marks in
Physical Sciences. (3)

5.2 Determine the probability, as a percentage, of randomly selecting a learner

who scored less than 77% in Physical Sciences. (2)

5.3 Determine how many learners scored less than 30% in Mathematics. (3)

5.4 Determine in which subject the learners performed better.

Give a reason for your answer. (3)
[11]

92
ACTIVITY 6

South Africa's unemployment rate increased from 34,4% in Quarter 2 to 34,9% in

Quarter 3 of 2021.

The number of unemployed people in Quarter 2 was 7,6 million, which is 183 000 less
than in Quarter 3.

The graph below indicates the unemployment rate for the different genders and the total
for South Africa for the first three quarters of 2021.

UNEMPLOYMENT RATE FOR THE FIRST THREE QUARTERS OF 2021

Quarter 3

Quarter 2

Quarter 1

28% 30% 32% 34% 36% 38%

RSA Women Men

[Adapted from Statistics South Africa]

Use the information above to answer the questions that follow.

6.1 Write down the quarter which showed the highest rate of unemployed men. (2)

6.2 Calculate the number of unemployed people in Quarter 3. (3)

6.3 Determine the increase in percentage of unemployed women from Quarter 1 to

Quarter 3 in 2021. (3)

6.4 The unemployment rate for Quarter 2 was 34,4%.

Determine the number of people employed in South Africa during

Quarter 2. (4)
[12]

93
ACTIVITY 7

A study relating to the amount of time spent (in minutes) by a selected number of
customers in a store was conducted on a particular Saturday. On that Saturday, a total
of 12 342 customers visited the store.

12 15 25 25 40 28 18 23
43 15 22 19 15 8 37 9
24 23 15 67 25 29 6 17
15 43 23 27 33 26 127 10

Use the information above to answer the questions that follow.

7.1 Write down the number of customers that represent the sample size and the
number of customers that represent the population size for this study. (3)

7.2 Choose the correct option (A, B, C, D or E) that represents the stage in the data
handling process that uses the measures of central tendency and spread.

A Collecting data
B Classifying and organising data
C Summarising data
D Representing data
E Analysing data (2)

7.3 Give a reason why the value of 127 is considered to be an outlier in the
data set. (2)

7.4 Shown below, in rank order, is selected data of the time spent by customers in the store
and an incomplete box-and-whisker plot of the same data.

6 8 9 10 12 15 15 15 15 15 17
18 19 22 23 23 23 24 25 25 25 26
27 28 29 33 37 40 43 43 67 127

Use the information above to answer the questions that follow.

(a) Calculate the value of the upper quartile (Q3). (3)

(b) Vuyo stated that if the outlier value was removed from the data set, the new
interquartile (IQR) value would be 13.
Verify Vuyo's statement, showing ALL calculations. (5)
[15]

94
ACTIVITY 8

8.1 Overnutrition occurs when there is an excessive intake of dietary energy, resulting in
overweight or obese people.

The double bar graph below shows the percentages of children in two age groups who
are overweight or obese in South Africa. The following descriptors have been used: male,
female, urban and rural.

Children in two age groups who are

overweight or obese
25
21,5
20,1
Percentage of children (%)

20
16,3
15,5 15,2
15
13,2 13,5
11,1
10

0
Male Female Urban Rural
Descriptors
Age group under 5 years old
KEY Age group 5 to 17 years old
[Adapted from [Link]]

Use the graph above to answer the questions that follow.

8.1.1 Identify the only descriptor where the age group 5 to 17 years old are fewer
than the age group under 5 years old. (2)

8.1.2 Determine the difference in percentages of the two age groups for the female
descriptor. (3)

8.1.3 Compare and comment on the urban and rural descriptors of the two age
groups. (3)

8.1.4 In a rural school, there are 795 learners in the age group 5 to 17 years old.

Calculate the number of learners who are NOT overweight or obese. (3)

8.1.5 Determine the probability, as a fraction, of randomly selecting a female who is

under 5 years old and not overweight or obese. (3)

95
8.2 Shown below is a growth chart for boys, from birth to 24 months. Also shown on this
chart is the head circumference-for-age and part of the weight-for-length-percentiles.

The measurements for a boy at 1, 9, 12 and 18 months have been plotted on the chart by
a nurse at the clinic.

in. in.

[Adapted from [Link]/en-us/baby/health/article]

Use the growth chart above to answer the questions that follow.

8.2.1 Write down, in inches, the measurement of the boy at 9 months. (2)

8.2.2 Identify the month(s) in which the boy was below the 50th percentile. (2)

8.2.3 Another boy of the same age has a head circumference of 48 cm at 18 months.

State whether this boy falls in a higher or lower percentile than the boy whose
details have been plotted on the growth chart. (2)

96
8.3 A study was done to investigate the relationship between the head circumference and the
nutritional status of some children under 2 years old. The box and whisker plots below
show the head circumference percentiles (HCP) of these children based on their
nutritional status.

A total of 142 children were included in this study.

 9,15% were malnourished.

 129 children had normal nutritional status.
 There was a greater representation of younger children with more than 50% between
1 and 8 months of age.
HEAD CIRCUMFERENCE PERCENTILES IN NORMAL AND
MALNOURISHED CHILDREN UNDER TWO YEARS OLD

100
81,7

80

60
54
HCP

40
29,7

33,5

20
1,1 9,5

Normal Malnourished
NUTRITIONAL STATUS

[Adapted from [Link]

Use the information and the box and whisker plots above to answer the questions that
follow.

8.3.1 Write down the percentage of malnourished children with a head circumference
below the 33,5 percentile. (2)

8.3.2 Calculate the number of children that were below the median head
circumference in the children with normal nutritional status. (3)

8.3.3 Comment on the selection of the sample of children selected. (2)

[27]

97
ACTIVITY 9

The pie charts on ANNEXURE A compare the five best-selling vehicles in South
Africa, America and Canada for 2021.

Use ANNEXURE A to answer the questions that follow.

9.1 Write down, in words, the total number of vehicles sold in America. (2)

9.2 Express as a ratio in the form ¬¬¬__ : __ : __, the number of Toyota RAV4s
sold in America, Canada and South Africa respectively. (2)

9.3 Write down the median number of the best-selling vehicles in South Africa. (2)

9.4 Determine the number of Ford F-series vehicles sold in Canada. (3)

9.5 The interquartile range for the top 10 vehicles sold in South Africa is 7 669
and the value of Quartile 1 is 11 408.

Calculate the value of Quartile 3. (4)

[13]

98
 ANNEXURE A

ACTIVITY 9

COMPARISON OF THE FIVE BEST-SELLING VEHICLES IN SOUTH AFRICA, AMERICA AND CANADA FOR 2021
SOUTH AFRICA AMERICA CANADA

361 271 51 684

16 426
726 004
36 085
407 739 53 757
18 235

519 774 569 388 61 934

19 077 21 887 73 467

Toyota RAV4 VW Polo Vivo Ford F-series Ram Pickup Ford F-series Ram Pickup
Ford Ranger VW Polo Chev Silverado Toyota RAV4 Toyota RAV4 GMC Sierra
Isuzu D-Max Honda CR-V Chev Silverado
TOTAL NUMBER OF TOTAL NUMBER OF TOTAL NUMBER OF
VEHICLES SOLD = 111 710 VEHICLES SOLD = 2 584 176 VEHICLES SOLD = 357 243

99
ACTIVITY 10

Bali is an international tourist destination that consists of different regions.

The graphs on ANNEXURE B show the average daily rate and percentage
occupancy.

[Percentage occupancy is the percentage of all rental units that are rented out at a
given time.]

Use ANNEXURE B to answer the questions that follow.

10.1 The average daily rate in Kula remained almost the same from 2011 to 2014.
Explain your observations regarding the percentage occupancy in Kula
during the same period. (4)

10.2 Compare the relationship between the average daily rates and the percentage
occupancy in Ubud for the year to date (YTD) Sep. 2014 to YTD Sep 2015. (4)

10.3 Explain why both graphs have a gap between 2014 and YTD September
2014. (4)
[12]

100
 ANNEXURE B
ACTIVITY 10

AVERAGE DAILY RATES AND OCCUPANCY FOR DIFFERENT REGIONS FROM 2010 TO SEP. 2015
400 85

350 80
Average daily rate in USD

300

Percentage Occupancy
75
250
70
200
65
150
60
100

50 55

0 50
2010 2011 2012 2013 2014 YTD YTD 2010 2011 2012 2013 2014 YTD YTD
Sep Sep Sep Sep
2014 2015 2014 2015

YTD means Year To Date

Source:[Adapted from [Link]] .

101
ACTIVITY 11

11.1 TABLE 5 shows the types of voting stations (VSs) used during the 2016 local government
elections in South Africa.

TABLE 5: TYPES OF VOTING STATIONS

PROVINCE VSs PERMANENT TEMPORARY MOBILE
Eastern Cape 4 699 4 535 161 3
Free State 1 531 1 342 189 0
Gauteng 2 716 2 389 327 0
KwaZulu-Natal 4 792 4 647 133 12
Limpopo 3 111 2 966 145 0
Mpumalanga 1 744 1 650 82 12
North West 1 723 1 605 115 3
Northern Cape 710 684 26 0
Western Cape 1 586 1 534 50 2
TOTAL 22 612 21 352 1 228 32
[Source: [Link]]

Use TABLE 5 and the information above to answer the questions that follow.

11.1.1 Name a type of instrument used to collect this data. (2)

11.1.2 State the province which has the most voting stations. (2)

11.1.3 Determine the mean number of voting stations (VSs) in South Africa. (3)

11.1.4 Write down the modal number of mobile voting stations in South
Africa. (2)

11.1.5 Determine the total number of temporary VSs as a percentage of the

total number of VSs in South Africa. (3)

11.1.6 Show how the value of 145 was calculated. (2)

11.1.7 The bar graph on the ANSWER SHEET shows the total number of
voting stations.

On the same ANSWER SHEET, the first three bars are drawn showing
the permanent voting stations.

Fill in the remaining bar graphs showing the permanent voting (6)
stations.

102
11.2 The TWO pie charts below show why and how people in South Africa travel.

[Source: [Link] [Link]]

Study the TWO pie charts above and answer the questions that follow.

11.2.1 Calculate the percentage of people whose reason for travel is sport. (2)

11.2.2 Which mode of transport is used by most people? (2)

11.2.3 A total of 542 267 people took part in this survey.

Calculate the number of people who travel to visit family and friends. (2)
[26]

103
ANSWER SHEET

ACTIVITY 11.1.7

Types of voting stations used during the 2016 local government elections

5000

4500

4000

3500
Number of voting stations

3000

2500

2000

1500

1000

500

0
Free State

Gauteng

Limpopo

Mpumalanga

Western Cape
Kwazulu-Natal

North West

Northern Cape
Eastern Cape

104
AKTIWITEIT 12

12.1 TABLE 6 below shows the estimated provincial half-yearly livestock numbers
(in thousands) for the nine provinces in South Africa for August 2020 and February 2021.

TABLE 6: ESTIMATED PROVINCIAL LIVESTOCK NUMBERS

(IN THOUSANDS) IN SOUTH AFRICA (AUG. 2020 AND FEB. 2021)
ESTIMATED LIVESTOCK NUMBERS (IN THOUSANDS)
PROVINCE Cattle Sheep Goats
Aug. '20 Feb. '21 Aug. '20 Feb. '21 Aug. '20 Feb. '21
Western Cape 466 466 2 545 2 497 202 199
Northern Cape 419 418 5 182 5 079 448 446
Free State 2 054 2 023 4 330 4 362 215 211
Eastern Cape 3 050 3 059 6 513 6 394 1 991 1 968
KwaZulu-Natal 2 380 2 320 628 610 662 651
Mpumalanga 1 248 1 243 1 527 1 508 78 76
Limpopo 860 850 A 192 902 909
Gauteng 246 246 84 83 21 20
North West 1 576 1 545 596 585 651 641
Total 12 299 12 170 … 21 310 5 170 5 121
[Adapted from [Link]]

Use TABLE 6 and the information above to answer the questions that follow.

12.1.1 Write down the province with the second highest number of sheep for
February 2021. (2)

12.1.2 Calculate Eastern Cape's estimated total number of livestock for August 2020. (3)

12.1.3 The provincial mean number of sheep is 2 400 444.

A farmer in Limpopo stated that the missing value A in the table is less than
200.

Verify, showing ALL calculations, whether the farmer's statement is valid. (7)

105
12.2 South Africa's agricultural sector sales in 2019 amounted to R317,6 billion.

ANNEXURE C shows the distribution of these sales, as well as a further distribution of

livestock sales into animals and produce.

Use ANNEXURE C and the information above to answer the questions that follow.

12.2.1 State whether the data displayed on ANNEXURE C is categorical or numerical

data. (2)

12.2.2 Determine missing value A. (2)

12.2.3 Calculate, in millions, the actual rand value of horticulture sales. (3)

12.2.4 Give a valid reason why there is a category for other livestock under animals. (2)
[21]

106
ANNEXURE C
ACTIVITY 12.2
DISTRIBUTION OF R317,6 BILLION SALES IN SOUTH AFRICA'S AGRICULTURAL SECTOR IN 2019

[Adapted from [Link]]

107
PROBABILITY

Many things in life can't be predicted with certainty.

The best we can say is how likely they are to happen, using the idea
of probability.

Probability helps us to interpret information in many real-life situations, such as:

• drug and pregnancy tests
• risk analysis in business
• working out all the possible combinations of items
• games of chance, such as cards, dice and gambling
• weather forecasts
• risks of veld fires and lightning
• advertising.
In all of the above situations, people use probability to decide how likely
it is that something will happen.

The probability scale

A probability can be described as a fraction, a decimal or a percentage. The
probability of any event is given a number between 0 (impossible) and 1 (certain).

The purpose of this scale is to show that there is a continuous range of probabilities.
The words are rough descriptions. The numbers give more exact descriptions.

Revise the work on decimals, fractions and percentages in Chapter 1. Remember

how to convert between them. Memorise the important ones, for example:
3
= 0,75 = 75%. These are all numbers less than 1.
4

An event has a 50% chance of happening if it is equally likely to happen as not to

happen. Tossing a coin is an example: you have a 50% chance of getting heads
and a 50% chance of getting tails.

Most things are not as fair as this, though. If you have five T-shirts, three blue and
3
two red, and you take a T-shirt without looking, you have a chance of taking a
5
blue one.

108
Descriptions of the likelihood of an event occurring:
● Impossible – it has no chance of happening

● Unlikely – it has a greater chance of not happening than of happening

– it has as much chance of happening as of not happening.
● Even (equally
– It is equally likely to happen as to not happen.
likely)

● Likely – it has a greater chance of happening.

● Certain – it is certain that it will happen.

Compound events are two or more events happening at once.
Independent events are events such that the probability of one event occurring in no way
affects the probability of the other event occurring.
Dependent events Events are dependent if the occurrence of either event affects the
probability of the other.
Mutually Exclusive means we can't get both events at the same time. (It is either one or
the other, but not both)

109
ACTIVITY 1

There are 3 stores A, B and C.

The probability of selecting Store C to buy all the school items is 0,3333333333.

1.1 Define the term probability in the given context. (2)

1.2 Write down this probability as a percentage rounded to the nearest whole
number. (2)
[04]

ACTIVITY 2

Write down the chances of getting the outcomes in the following situations. Write your
answers as decimals, percentages and common fractions. You must give all three.

2.1 Getting a 3 when throwing a dice with 6 faces. (4)

2.2 Getting any odd number when throwing a dice once. (4)

2.3 The arrow of this spinner lands on a colour randomly when you spin it.
What are the chances of landing on red?

(4)

2.4 You take out a T-shirt (without looking!) from a pile which has 1 blue,
3 green and 2 purple T-shirts in it. What are the chances of taking out
a purple T-shirt? (5)
[17]

110
ACTIVITY 3

The accelerated schools infrastructure delivery initiative (ASIDI) of the Department of

Education was created to renovate schools so that they are conducive to learning.

TABLE 2 shows a summary of the completed renovated projects per province.

TABLE 2: COMPLETED ASIDI RENOVATED PROJECTS PER PROVINCE

PROBLEMS AT THE SCHOOL
PROVINCE INAPPRO- WATER SANITATION ELECTRICAL TOTAL
PRIATE NUMBER
STRUCTURES OF
PROJECTS
Eastern
145 271 171 202 789
Cape
Free State 21 53 12 50 136

Gauteng 0 0 14 2 16
KwaZulu-
1 206 103 58 368
Natal
Limpopo 3 104 88 5 200

Mpumalanga 5 36 38 45 124

North West 2 3 10 0 15
Northern
1 5 13 2 21
Cape
Western
25 3 19 8 55
Cape
TOTAL 203 681 468 372 1724
[Source: ASIDI Delivery Report Update]

Use the information in the table above to answer the questions that follow.

3.1 Determine, as a decimal, the probability of randomly selecting a renovation

project that successfully completed inappropriate structures. (3)

3.2 Determine, to the nearest percentage, the probability of randomly selecting a

completed project at a school in KwaZulu Natal that did NOT have electric
repairs. (4)
[07]

111
ACTIVITY 4

Xander has to buy lunch for his staff. At the local garage he has the option of hamburgers
or pies to eat and the choice of Coke, water or juice to drink.

4.1 Using ANSWER SHEET 1, fill in the missing items to complete the Tree
Diagram. (5)

4.2 Determine the probability of one staff member receiving a pie. (2)

4.3 Determine the probability of a staff member NOT receiving a juice. (3)
[07]

ANSWER SHEET 1

ACTIVITY 4

112
ACTIVITY 5

Rafique is a soccer fan and he wants to use his knowledge of Mathematical Literacy to
understand the possible outcomes of a game.
The possible outcomes of a soccer game are WIN (W), DRAW (D) or LOSE (L).
The team that Rafique supports still has to play two games.

5.1 An incomplete tree diagram on ANSWER SHEET 2 shows the possible

outcomes of the two games that still have to be played.
Write down the missing information in the spaces provided on
ANSWER SHEET 2. (3)

5.2 1
The probability of Rafique's team losing both games is .
9
Which ONE of the following statements (A, B or C) best describes this
probability?

A There is no chance of the team losing both games.

B There is a certainty of the team losing both games.
C There is a possibility of the team losing both games. (2)

5.3 The tree diagram on ANSWER SHEET 2 shows the possible outcomes of the
last two games.
Use this tree diagram to determine the probability that the team will win at least
one of the two games that still have to be played. (2)
[07]

113
ACTIVITY 5

ANSWER SHEET 2

114
ACTIVITY 6

Shaya FC plays two matches in September. There are three possible outcomes for each
match: win (W), lose (L) or draw (D).

A tree diagram is drawn to work out the possible outcomes for the two matches.

6.1 The incomplete tree diagram above has also been provided on ANSWER
SHEET 3.
Complete the tree diagram on ANSWER SHEET 3 to show all the possible
outcomes of the two matches. (4)

6.2 Use the completed tree diagram to predict the probability that Shaya FC will:

(a) Win both matches (2)

(b) Win only one of the matches (2)

(c) Draw at least one of the matches (3)

[11]

115
ACTIVITY 6

ANSWER SHEET 3

116
ACTIVITY 7

Kimberley experienced heavy thundershowers on 11 March 2019. Celeste, a resident

of Kimberley, studied the weather forecast below relating to the following day to
determine whether it was necessary to take an umbrella to work.

HOURLY WEATHER FORECAST FOR KIMBERLEY – 12/03/2019

[Adapted from [Link]]

Use the information above to answer the questions that follow.

7.1 At what time of the day is the temperature expected to be 28 °C? (2)

7.2 Determine the probability that it will rain when Celeste leaves work at 2:30 (2)
p.m.
[04]

117
 ACTIVITY 8

Simphiwe sells candles. The tree diagram below shows the different options available
for the candles that will be sold.

TREE DIAGRAM FOR THE DIFFERENT CANDLE OPTIONS

TYPE COLOUR DECORATION OUTCOME

Ribbon (R) CWR

White
(W) No ribbon CWN
(N)
Cylindrical
candle (C)

Gold Ribbon (R) CGR

(G)

CGN
No ribbon
(N)

Ribbon (R) HWR

White
(W) No ribbon HWN
(N)
Horsehead
candle (H)
HBR
Black X
(B)
Y
No ribbon
(N)

Use the tree diagram above to answer the questions that follow.

8.1 Write down the description for:

8.1.1 X (2)
8.1.2 Y (2)

8.2 Write down the probability of buying:

8.2.1 Any candle with a ribbon, as a percentage (3)
8.2.2 A gold horsehead candle, without a ribbon (2)
[09]

118
ACTIVITY 9

Susan drew a two-way table that represented all her possible outcomes if throwing two dice.

Die 2
1 2 3 4 5 6
Die 1
1 1;1 1;2 1;3 1;4 1;5 1;6
2 2;1 2;2 2;3 2;4 2;5 2;6
3 3;1 3;2 3;3 3;4 3;5 3;6
4 4;1 4;2 4;3 4;4 4;5 4;6
5 5;1 5;2 5;3 5;4 5;5 5;6
6 6;1 6;2 6;3 6;4 6;5 6;6

Use the TWO–WAY TABLE above to answer the questions that follow.

9.1 Determine the total possible outcomes. (2)

9.2 Determine the probability, as a percentage, of Susan rolling a double six. (3)

9.3 Determine the probability, as a decimal, of Susan rolling first a 4 and then a 3. (3)

9.4 Determine the probability, as a simplified fraction, of Susan rolling a 2 and a 1

in any order. (3)

9.5 Determine the probability, as a percentage, of Susan rolling a 5. (3)

[14]

119
ACTIVITY 10

A medical researcher is doing research about the link between energy drinks and high blood
pressure.
Drinking High Blood Pressure
Total
energy drinks Yes No
Yes 30 15 45
No 25 50 75
Total 55 65 120

Use the TWO–WAY TABLE above to answer the questions that follow.

10.1 Determine the probability, as a simplified fraction, that a person who drinks
energy drinks have high blood pressure. (3)

10.2 Determine the probability, as a percentage, of selecting a person who does

not drink energy drinks and who does not have high blood pressure. (3)

10.3 Determine the probability, as a decimal, that a person from the group will
have high blood pressure. (3)
[09]

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HIRE PURCHASE AND RESIDUAL (BALLOON PAYMENT)

You hire/rent a item (lounge suit / motor vehicle) at a monthly installment.

Only after your final instalment you own the item.

ACTIVITY 1

Malcolm is planning to buy a motor vehicle. The cash price of the motor vehicle is
R334 000. He considers the following payment options to finance this motor vehicle
to the value of R300 000.

OPTION 1: Motor vehicle loan without a residual (balloon payment)

OPTION 2: Motor vehicle loan with a 20% residual (balloon payment)
The balloon payment will be the 73rd payment.
OPTION 3: Personal loan from a bank

TABLE 1 below shows the different motor vehicle payment options.

TABLE 1: MOTOR VEHICLE PAYMENT OPTIONS

OPTION 1 OPTION 2 OPTION 3
Interest rate 13% 13% 17,5%
Monthly instalment R6 115,47 R5 498,19 R6 864,00
Balance outstanding at 20% of loan
R0 R0
the end of 72 months value
Cost of loan X R156 494,00 R194 208
Total payable R440 313,84 Y R494 208,00
Loan period 6 years 73 months 6 years
[Adapted from [Link]]

Use TABLE 1 above to answer the questions that follow.

1.1 Define the term interest rate in context. (2)

1.2 Determine the difference between the monthly instalments of Option 1 and
Option 2. (2)

1.3 Calculate missing value X.

You may use the formula:

Cost of loan = Instalments × number of months – loan value (3)

1.4 Determine missing value Y.

You may use the formula:

Total payable = Instalments × number of months + balloon payment (5)

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1.5 Give ONE reason why banks charge more interest on a personal loan
compared to a motor vehicle loan. (2)
[14]

ACTIVITY 2

Miecke plans to install a home solar system unit consisting of solar panels, a battery
and an inverter. She sees the advertisement below in a community newspaper showing
the two different payment options for the same unit.

HOME SOLAR SYSTEM UNIT PAYMENT OPTIONS

OPTION 1: RENT-TO-OWN OPTION 2: CASH PRICE
Pay for 7 years at R1 549 p/m R78 200 (incl. VAT)
Additional costs:
R782 initiation fee
Buy-out after rental period R7 820
[Adapted from [Link]

Use the information above to answer the questions that follow.

2.1 Write down the monthly instalment for the rent-to-own option. (2)

2.2 Calculate, excluding VAT, the cash price of the home solar system unit. (3)

2.3 After seven years, Miecke decides to buy-out the rent-to-own option.

Calculate the extra amount she has to pay compared to buying the home solar
system unit for cash. (5)
[10]

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ACTIVITY 3

Mr. Fortune receives a monthly statement from the bank with regards to the vehicle
he purchased.
The cash price of the vehicle was R151 140.
Mr. Fortune bought the vehicle on HIRE-PURCHASE.

Use the information above and the statement below to answer the questions
that follow.

3.1 Write down the street name used on this statement. (2)

3.2 Calculate the number of days that this statement period includes. (2)

3.3 Determine how many instalments Mr. Fortune has paid, according to this statement. (2)

3.4 The NCA service fee includes 15% VAT.

Calculate the VAT charged on this service fee amount. (3)

3.5 Show how the outstanding capital balance value of R71 350,23 was calculated. (2)

3.6 Calculate the total amount of money that Mr. Fortune will pay for the vehicle over the
full term of the loan. (3)

3.7 Hence, calculate the total amount of money that Mr. Fortune would have saved if he
bought the vehicle for cash. (3)
[17]

123
 MONTHLY STATEMENT FOR MR. FORTUNE
Mr. Fortune Credit provider
13 Happy Life Street VW Financial Services
Pofadder An Authorised and Registered Credit and Financial provider
1526

TAX Invoice Original Date: 2019/01/17

Account number 984278654321

Statement Period: 2018/12/18 – 2019/01/17

Agreement Detail
Customer Number 27168398

VAT 15%
Goods Description Volkswagen Polo 1.4 Trendline
Registration number To be confirmed
Original Capital Balance R151 140
Instalment Amount R2 967,23
Frequency of instalment MONTHLY
Date Commenced 2015/04/08
Expire Date 2021/04/01
Original Term (Months) 72
No. of remaining Instalments 28
Balloon/Residual R0,00
Arrears R0,00
Outstanding Capital Balance R71 040,03
Actual Contract Balance R81 513,92

Instalment details
Instalment Due Date 2019/02/01
Instalment Due Amount R2 967,23
Other Instalment Due None

Transactions Date Debits / Outstanding Capital Balance

Credits
BALANCE BROUGHT FORWARD 2018/12/18 73 613,74 DR
DEBIT ORDER 2018/12/31 2 967,23 CR 70 646,51 DR
INTEREST 2019/01/01 703,72 DR 71 350,23 DR
NCA SERVICE FEE 2019/01/01 *57,50 DR *71 407,73 DR
REBATE INTEREST 2019/01/01 1,18 CR 71 406,55 DR
BALANCE CARRIED FORWARD 2019/01/17 71 406,55 DR
*Transactions include VAT

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ACTIVITY 4

Mrs Smith would like to buy a car but does not have the full cash amount. She
downloaded TWO payment options for TWO different cars as shown in
TABLE 2 below.
TABLE 2: PAYMENT OPTIONS FOR TWO DIFFERENT CARS
FORD FIGO VW POLO

ITEM

Retail price/Cash price

R215 100 R220 300
(including VAT)
Deposit 5% 0%
Monthly instalment R2 999,00 R3 345,00
Residual value 30% R116 759
Monthly admin fee
2,08% of the monthly
(not included in monthly R69,00
instalment
instalment)
Term agreement 72 months 48 months
VAT 15% 15%
[Adapted from [Link] and [Link]]
*Residual value is the last month's payment.

Use TABLE 2 above to answer the questions that follow.

4.1 State what type of payment option is shown in TABLE 2. (2)

4.2 Calculate the deposit amount for the Ford Figo. (2)

4.3 Write down (in simplified form) the ratio of the term agreement of the Ford
Figo to the VW Polo. (2)

4.4 Which ONE of the two vehicles will be more cost effective in terms of
monthly budget? (2)

4.5 Calculate the total cost of the VW Polo if the monthly instalment remained the
same throughout the contract period, except for the final payment.
You may use the following formula:
Total cost
= Total value of monthly instalments + admin fees + residual value (6)
[14]

125
INTEREST

Money paid regularly at a particular rate for the use or loan of money.
It can be paid by a financial organisation or bank to you (in the case of savings), or it may be
payable by you to a financial organisation on money you borrowed from the organisation.

Simple interest This is Interest calculated each year on the original amount
invested or borrowed (the principal amount).
This results in the interest amount remaining the same every year.
Compound interest The interest is only calculated on the original amount in the first
year.
After that, it is calculated on the original amount plus the
previous year's interest.
So it is interest charged on an amount due plus interest already
payable on it.
Accumulated / total Final amount consisting of the principal plus interest.
amount
Capital / Principal Money owned by someone and used to invest or lend.
amount
Loan A loan is an amount of money lent by a bank or moneylender
(eg personal loan or home loan).
Interest Amount paid regularly at a specified rate for using or borrowing
money.
This is the actual rand amount that will be added to your loan /
investment.
Interest rate This is the interest rate (%) charged on the amount you borrowed
or invested, in other words a percentage value of the original loan
or investment amount.
Earn interest This is the "reward" someone received from a bank or company
for investing money with them.
Interest charged It is a "fee" or "charge" that a person pays to a bank to borrow
money or to a company to pay something off.
Term This is a period for which the money is invested or borrowed.

126
COMPOUND INTEREST:
Ryan invested R1 230 000 in shares in a Canadian company.

After 2 years and 8 months Ryan sold his shares and received a final sum of R1 529 360.

In South Africa, Ryan would have received an interest rate of 8,1% for 2 years and 8 months,
compounded annually.

Ryan claims that he received R14 000 more on his overseas investment compared to a possible South
African investment.

Verify, by showing ALL calculations, whether Ryan's claim is valid.

R1 230 000 8,1% 2 years and 8 months

Interest rate

R1 230 000 = 100% + 8,1% = 108,1% (final amount)

Year 1 Year 2

108,1 108,1
 R1 230 000  
100 100
= R1 437 330,03 Final amount Year 2

EIGHT MONTHS:
8,1 8
 R1 437 330, 03   Time in years
100 12
= R77 615,82162 Interest for 8 months

Final amount:
= R1 437 330,03 + R77 615,82162 (Final amount Year 2 + Interest for 8 months)
= R1 514 945,852

Difference:
= R1 529 360 – R1 514 945,852
= R14 414,15

Ryan's statement is VALID.

127
ACTIVITY 1

One of the many investment options in South Africa is the stokvel option.
TABLE 1 below shows two stokvel plans (Plan A and Plan B) over a 24-month period.

TABLE 1: TWO STOKVEL PLANS

PLAN A PLAN B
(MONTHLY FIXED TERM PLAN) (ONCE-OFF SAVING PLAN)
Choose how long you want to save for. Choose how long you want to save for.

Saving period: 24 months Saving period: 24 months

How much do you want to save How much do you want to save once-
monthly? off?

Monthly contributions: R2 500 Once-off amount: R60 000

Total amount at the end of 24 months: Total amount at the end of 24 months:
R74 286,84 R92 065,71
[Adapted from [Link]

Use TABLE 1 above to answer the questions that follow.

1.1 Define investment in the given context. (2)

1.2 Calculate the total contributions for Plan A over the 24-month period. (2)

1.3 Calculate the interest earned if a person invests in Plan B over the 24-month
period. (2)

1.4 Determine how much more interest a person will earn investing in Plan B
compared to investing in Plan A over the same 24-month period. (2)
[08]

128
ACTIVITY 2

Josh saved R500,00 each month since earning his first profit. He has now accumulated an
amount of R17 000,00.

TABLE 2 below shows the simple interest rates that would be earned over fixed time periods
for amounts ranging from R10 000,00 to R99 999,00.

TABLE 2: SIMPLE INTEREST RATES FOR FIXED TIME PERIODS

R10 000–R24 999 R25 000–R99 999
TERM (MONTHS) INTEREST RATE INTEREST RATE
PER YEAR PER YEAR
6 7,12% 7,23%
12 7,76% 8,08%
18 7,87% 8,41%
24 8,08% 8,57%
36 8,30% 8,84%
48 8,46% 9,00%
[Adapted from [Link]]

Use TABLE 2 above to answer the questions that follow.

2.1 Determine (in months) how long he took to save R17 000,00. (2)

2.2 Write down the interest rate he will get if he invests his money for 3 years. (2)

2.3 Determine (rounded to the nearest R100) the amount of interest Josh will earn
if he invests his accumulated savings for 3 years. (3)

2.4 Sifiso wants to invest R24 000,00 for 48 months instead of 12 months.

Calculate the difference in percentage points for the interest rate. (2)

2.5 Write down the minimum number of years and months a person must invest
R25 000,00 to earn an interest rate of 8,41%. (3)
[12]

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ACTIVITY 3

3.1 Mr. Moloke would like to put up a new steel gate at his house.
His bank will lend him R16 000 for 2 years and 7 months at 16% compound
interest per annum.

3.1.1 Calculate the total amount that Mr. Moloke owes the bank at the end
of the period. (6)

3.1.2 Calculate the total interest that Mr. Moloke owes the bank at the end
of the period. (2)

3.2 Naledi wants to buy a new stove worth R8 999,00.

She decides to save until she has enough cash.

She is going to invest R5 000 of her bonus in a savings account at 4,75%

compound interest for 2 years and 4 months.

Verify, by showing ALL calculations, whether she will have enough money to
buy the stove after the 2 years and 4 months. (7)
[15]

ACTIVITY 4

Malcolm plans to buy a motor vehicle.

The cash price of the motor vehicle is R334 000.
He has R274 000 and just needs the rest.

He is considering borrowing the outstanding amount from the bank. .

The bank is willing to grant him a loan at 17,5% interest, compounded annually.
The loan period is 3 years.

Use the information above to answer the questions that follow.

4.1 Define the term interest in context. (2)

4.2 Calculate the total amount Malcom owes the bank at the end of 3 years. (5)

4.3 Give ONE reason why banks charge more interest on a personal loan
compared to e.g. charge a loan for a motor vehicle. (2)
[09]

130
ACTIVITY 5

Mrs Smith invested R60 000 at a bank for two years with compound interest.
In the first year she received an interest rate of 4,3% per annum while in the second
year the interest rate was 5,1% per annum.
Mrs Smith stated that she would have enough money at the end of the second year to
pay the residual value of R65 600 on her vehicle.

Verify, showing ALL calculations, whether her statement is CORRECT. (6)

[06]

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