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5.1 Define the term full-title ownership - NSC Consumer Studies - Question 5 - 2024 - Paper 1
Question 5
5.1 Define the term full-title ownership. 5.2 Explain what is an offer to purchase. 5.3 Give reasons why it is cheaper to buy household appliances using cash rathe... show full transcript
Worked Solution & Example Answer:5.1 Define the term full-title ownership - NSC Consumer Studies - Question 5 - 2024 - Paper 1
Step 1
Step 2
Step 3
Give reasons why it is cheaper to buy household appliances using cash rather than an instalment sale transaction.
Answer
Using cash eliminates interest costs, allowing for potential discounts. Additionally, cash purchases avoid monthly payments and any hidden fees, making them more economical.
Step 4
State the costs that a prospective homeowner will be responsible for before and during the building of a new house.
Answer
Prospective homeowners must account for land purchase costs, design expenses involving a site preparation/water connection, payment to builders, construction materials, necessary inspections, and any delays that may incur additional costs.
Step 5
Calculate the total instalment sale transaction price of the portable gas stove. Show ALL calculations.
Answer
The total instalment sale price is calculated as follows:
- Monthly instalment: R69,00
- Duration: 6 months
- Total instalment cost: R69,00 x 6 = R414,00
- Adding deposit: R414,00 + R59,00 = R473,00.
Step 6
Analyse how this portable one-plate gas stove:
Answer
The portable one-plate gas stove:
(a) Saves human energy:
- The stove uses a disposable gas canister that is lightweight and easy to replace.
- Its removable top plate simplifies cleaning and maintenance.
- The automatic igniting switch eliminates the need for manual lighting.
(b) Will be a useful purchase for a household:
- It is convenient for camping, traveling, or outdoor cooking.
- It can serve as a backup cooking option during power outages, especially since it has a compact design requiring minimal storage space.