471 Questions
What is the basic salary?
The employee's salary excluding any additional income or deductions.
What is the purpose of a quotation?
To provide a guideline of all the costs that a customer will have to pay if they choose to buy an item/service.
What is the formula for calculating the gross salary?
Gross Salary = Basic Salary + Additional Incomes
What is the total deductions formula?
Total Deductions = Sum of All Deduction Values
What is the net pay?
The difference between the gross salary and the total deductions.
What is the purpose of a receipt?
To provide proof that a customer has paid for an item/service.
What is the taxable income?
The portion of an employee's salary on which tax is calculated.
What is the purpose of an invoice?
To provide a summary of all the costs that a customer must pay.
What is the primary purpose of a budget?
To plan and predict future income and expenditure
What is the difference between a budget and a statement of income-and-expenditure?
A budget predicts future income and expenditure, while a statement summarizes actual income and expenditure
What is the formula for calculating total expenditure?
Total Expenditure = Sum of All Expense Items
What is the purpose of UIF?
To provide financial support to employees who lose their jobs
What is the formula for calculating net income?
Net Income = Total Income - Total Expenditure
What is the purpose of setting financial goals?
To save and invest a portion of the income
Why are budgets and statements of income-and-expenditure important tools?
They are used to plan and predict future finances
What is the formula for calculating the percentage change in expenditure?
Percentage Change = (Actual Value - Previous Value) / Previous Value
Why is it important to monitor and adjust a budget?
To accommodate changes in income or expenses
What is the purpose of comparing predicted and actual values?
To see how the business actually performed versus how it was planned
What is the formula to calculate Net Pay?
Net Pay = Gross Salary - Total Deductions
What is the process of declaring income to the tax authorities and calculating the amount of tax owed or the refund due?
Filing Taxes
What type of income is received from working, such as salaries, wages, commissions, and bonuses?
Earned Income
What is the total income earned before any deductions or taxes?
Gross Income
What is the process of creating a plan for how to allocate income to cover expenses, savings, and investments?
Budgeting
What is the importance of having multiple sources of income?
To reduce risk
What is the purpose of a payslip?
To determine the net pay
What is the income remaining after all deductions, such as taxes, pension contributions, and other mandatory deductions?
Net Income
What is the purpose of setting aside a portion of income for future use or emergencies?
Saving
What is the first step in understanding and managing sources of income?
Identify All Sources of Income
What is the percentage of the employee's contribution to UIF?
1%
What is the employer's contribution to UIF as a percentage of the gross salary?
1%
What is the total contribution to UIF as a percentage of the gross salary?
2%
What is the maximum UIF deduction from an employee's salary?
R124.78
What is an exchange rate used for?
To compare the value of one currency to another
How often do exchange rates fluctuate?
Daily
What is the formula for accurate currency conversions?
Converted amount = Foreign currency amount × Exchange rate
When is an exchange rate considered strong?
When one unit of that currency exchanges for more than one unit of another currency
What is the purpose of the estimation method for currency conversions?
To provide a general idea of the exchanged amount for travellers
What is the salary ceiling for calculating UIF?
R12,478.00
What is meant by a weak currency?
One unit of that currency exchanges for less than one unit of another currency.
What is the main purpose of a water tariff system?
To charge different rates for different portions of water used.
What is the graphical representation of a tariff system called?
Step-function Graph
What is the purpose of break-even analysis in comparing tariff systems?
To find the point at which the costs of two tariff systems are equal.
What is the formula for calculating the monthly cost in a prepaid electricity tariff system?
Monthly Cost = Rate per Unit × Units Used
What does a flat line section in a graph represent in a tariff system?
A period where the cost does not change.
What is the formula for calculating the percentage increase?
Percentage Increase = (New Value - Old Value) / Old Value × 100
What is the first step in comparing two options?
Identify the options and gather relevant information.
What is a key concept in comparing two options?
Criteria for comparison.
Why is it important to consider both direct and indirect costs in a cost analysis?
To get a complete picture of the costs associated with each option.
What is the primary purpose of using mathematical tools and techniques in decision making?
To organize and visualize the data
What is the next step after establishing the criteria for comparing two options?
Gather data
What is the purpose of a budget?
To plan the future finances of an event, business, or organization
What is included in a statement of income-and-expenditure?
Actual income and expenditure items
What is the key feature of a budget that helps in understanding its performance?
Comparison of predicted vs. actual values
What is the purpose of comparing the total costs, benefits, and risks of each option?
To make an informed decision
What is the next step after calculating the total cost of each option?
Analyse benefits
What is the purpose of documenting the comparison process?
To record the comparison process and present findings
What is included in the components of a budget?
Predicted and actual values
What is the purpose of assessing the potential risks of each option?
To evaluate the potential risks and their impact
What is the main difference between simple and compound interest?
Compound interest is calculated on the principal plus any accumulated interest.
What is the formula for calculating the total amount in a compound interest scenario?
Total Amount = P × (1 + r)^t
What type of account is used for regular transactions, such as withdrawals, payments, and deposits?
Transactional Account
What is the term for purchasing an item now and paying for it later through installments?
Buying on Credit
What is the graph representation of compound interest?
A curve showing exponential growth.
What is the term for the initial payment made when purchasing on credit or taking a loan?
Deposit
What is the formula for calculating the fee in a bank fee structure with a maximum fee limit?
Fee = Fixed cost + (Percentage of transaction value), if calculated fee exceeds the maximum fee, then the maximum fee is charged.
What is the main difference between a fixed deposit account and a transactional account?
The balance can change regularly.
What is the term for the cost of borrowing money, added to the principal amount?
Interest
What is the graph representation of simple interest?
A straight line showing a constant increase.
What is the formula for calculating the cost price per item?
Total Cost of Batch / Number of Items in Batch
What is the break-even point in a business?
The point where the business covers all expenses
What is the formula for calculating the total cost of a batch?
Sum of the cost of each ingredient or material
What is the method of determining the break-even value by drawing graphs?
Drawing Graphs
What is the horizontal axis value in the graphical representation of the break-even point?
Quantity (e.g. number of items sold)
What is the formula for calculating the income?
Selling Price per Unit * Number of Units Sold
What is the break-even quantity?
The number of units that must be sold to cover all costs
What is the formula for calculating the break-even point?
Fixed Costs / (Selling Price per Unit - Variable Cost per Unit)
What is the importance of the break-even point in a business?
It helps to determine the point where the business covers all expenses and starts making a profit
What is the graphical representation of the break-even point?
The intersection of two graphs: one for costs and one for income
What is the purpose of comparing predicted and actual values in budgeting and financial statements?
To determine the accuracy of predictions and assess performance
What is the formula for calculating the difference between predicted and actual values?
Actual Value - Predicted Value
What is the purpose of analyzing income-and-expenditure statements?
To understand the financial performance over a specific period
What is the formula for calculating the cost of a specific quantity needed?
(Quantity Needed / Packet Size) × Packet Price
What is the importance of understanding the cost price of an item?
To determine how much the item must be sold for to cover the costs involved
What is the purpose of comparing the values of income and expenditure over time?
To show how income and expenditure have changed over time, indicating improvements or declines in performance
What is the formula for calculating the change in value over time?
Value in Later Period - Value in Earlier Period
Why is it necessary to adjust the cost price of an item?
To account for other costs not considered, such as electricity, water, or rental costs
What is the importance of setting a competitive selling price?
To ensure the selling price is reasonable and competitive while covering costs and providing a profit margin
What is the purpose of calculating the net income?
To show the profitability of a business or organization
What is the purpose of posing questions in the statistical process?
To guide the data collection process
What is the term for the entire group about which data is being collected?
Population
What is a potential problem with a small sample size?
It may lead to skewed or biased data
What is the formula for calculating the mean of a data set?
$rac{\sum ext{values}}{ ext{number of values}}$
What is the middle value in a sorted data set called?
Median
What is the purpose of a questionnaire?
To gather information about a group or their opinions
What is the term for a document used to record the frequency of events?
Recording sheet
What is the purpose of ensuring a sample is representative of the population?
To avoid bias and ensure accurate results
What is the first step in the data collection process?
Posing relevant questions
What is the term for the process of collecting data from a sample or population?
Data collection
What is the median of a dataset when it has an odd number of values?
The middle value
What is the main advantage of using the median over the mean?
It is less affected by outliers
What is the purpose of placing two line graphs on the same set of axes?
To compare changes in different data sets over time
What is the range of a dataset?
The difference between the highest and lowest values
What is the term for describing the relationship or pattern between two variables?
Correlation
What is the purpose of a scatter plot graph?
To compare the type of relationship between two variables
When is the mode a useful measure of central tendency?
When the dataset is categorical and the most common value is important
What is the effect of outliers on the range of a dataset?
It increases the range
What is the term for points in the data that deviate significantly from the other points?
Outlier
What is the purpose of sorting data?
To organize data into a manageable and understandable format
What type of graph is used to compare the frequency values for different categories over various intervals?
Double bar graph
What is the purpose of a frequency table?
To summarize how often different values appear in a data set
What is the purpose of a bar-of-pie chart?
To show the total frequency of two combined categories
What type of graph is effective for showing how changes occur in a data set over time?
Line graph
What is the first step in creating a frequency table?
Identify the class intervals needed to group the data
Why is the median a better choice than the mean when the dataset contains outliers?
Because the median is less affected by outliers
What is the formula for calculating the percentage of data points in a specific class interval?
Percentage = (Frequency of the interval / Total number of data points) x 100
What is the purpose of calculating the percentage values in a frequency table?
To standardize comparisons, especially when the total number of data points in different categories varies
What is the first step in summarizing data?
Sort the data set
What is the benefit of sorting data according to two criteria, such as sorting height data separately for males and females?
It helps in comparing the height distribution within each gender group
What is the difference between Gross Salary and Basic Salary?
Gross Salary includes additional income, while Basic Salary does not.
What is the purpose of a quotation?
To provide a guideline of all the costs that a customer will have to pay if they choose to buy an item/service.
What is the difference between a receipt and an invoice?
A receipt provides proof of payment, while an invoice is a summary of all the costs.
What is the Net Pay?
The difference between the gross salary and the total deductions.
What is the purpose of learning and understanding the different terms used in financial documents?
To understand the different financial documents such as payslip, quotation, invoice, and receipt.
What is the quantity in a quotation?
The number of items being bought.
What is the total deductions formula?
Total Deductions = Sum of All Deduction Values.
What is the difference between Gross Salary and Taxable Income?
Gross Salary is the total of all income sources, while Taxable Income is the portion of the salary on which tax is calculated.
What is the purpose of subtracting total deductions from gross salary?
To determine the net pay
What is the term for income received from sources other than employment?
Unearned income
What is the purpose of creating a budget?
To allocate income to cover expenses, savings, and investments
What is the term for setting aside a portion of income for future use or emergencies?
Savings
What is the purpose of subtracting deductions from gross income?
To determine the net income
What is the term for payments made by the government to individuals?
Government transfers
What is the purpose of identifying all sources of income?
To list all the ways in which income is received
What is the term for the income remaining after all deductions?
Net income
What is the purpose of calculating the net income?
To determine the income remaining after all deductions
What is the purpose of understanding different sources of income?
To manage finances effectively
What is the main purpose of setting financial goals?
To create a plan to achieve short-term and long-term financial objectives
What is the primary purpose of a statement of income-and-expenditure?
To show a summary of actual income and expenditure items for an event, business, or organization
What is the purpose of regularly reviewing income and expenses in a budget?
To adjust the budget as necessary to accommodate changes in income or expenses
What is the formula for calculating Net Income?
Net Income = Total Income - Total Expenditure
What is the purpose of UIF?
To provide financial support to employees who lose their jobs
What is the purpose of comparing predicted and actual values of income and expenditure?
To see how the business actually performed versus how it was planned or predicted to perform
What is the formula for calculating the percentage change in expenditure?
Percentage Change = (Actual Value - Previous Value) / Previous Value x 100%
Why is it important to have multiple sources of income?
To reduce the risk of financial instability
What is the purpose of a budget?
To predict the income and expenditure items for an event, business, or organization
What is the purpose of monitoring and adjusting a budget?
To accommodate changes in income or expenses
What is the formula for calculating the employee's contribution to UIF?
1% × gross salary
What is the total contribution to UIF as a percentage of the gross salary?
2% × gross salary
What is the maximum UIF deduction from an employee's salary?
R124.78
What is an exchange rate used for?
To compare the value of one currency to another
What is the formula for accurate currency conversions?
Converted amount = Foreign currency amount × Exchange rate
When is an exchange rate considered strong?
When one unit of the currency exchanges for more than one unit of another currency
What is the purpose of the estimation method for currency conversions?
To provide a general idea of the exchanged amount for travellers
What is the salary ceiling for calculating UIF?
R12,478.00 per month
What is meant by a weak currency?
A currency that exchanges for less than one unit of another currency
What is the purpose of calculating the total contribution to UIF?
To determine the total amount of UIF contributions from both the employee and employer
What is the purpose of a water tariff system?
To encourage water conservation by charging increasing rates for higher usage levels
What does a steeper gradient in a graph of a tariff system indicate?
An increase in the cost of water usage
What is the purpose of break-even analysis in comparing tariff systems?
To find the point at which the costs of two tariff systems are equal
What is the formula for calculating the monthly cost in a prepaid electricity tariff system?
Monthly Cost = Rate per Unit × Units Used
What does a flat line section in a graph of a tariff system represent?
A period where the cost does not change
What is the purpose of comparing two options?
To evaluate the advantages and disadvantages of each option
What is the first step in comparing two options?
Establishing the criteria for comparison
What is the purpose of a cost analysis in comparing two options?
To identify and quantify the costs associated with each option
What is the formula for calculating the percentage increase?
Percentage Increase = (New Value - Old Value) ÷ Old Value
What is the purpose of considering both direct and indirect costs in a cost analysis?
To ensure that all relevant costs are considered
What does the break-even point indicate in a business?
The amount of money the business must make to avoid a loss and start making a profit
What is the formula for calculating the total cost of a batch?
Total Cost of Batch = Sum of Cost of Each Ingredient or Material
What is the graphical representation of the break-even point?
The intersection of two graphs: one for total costs and one for total income
What is the formula for calculating the break-even quantity?
Break-even Quantity = Fixed Costs / (Selling Price per Unit - Variable Cost per Unit)
What is the purpose of break-even analysis?
To determine the amount of money a business must make to avoid a loss and start making a profit
What is the cost price per item?
The total cost of a batch divided by the number of items in the batch
What is the method of determining the break-even value by drawing graphs?
Method 1: Drawing Graphs
What is the equation for calculating the income?
Income = Selling Price per Unit x Number of Units Sold
What is the break-even quantity in a business?
The number of units that must be sold to cover all costs
What is the formula for calculating the total cost?
Total Cost = Fixed Costs + (Variable Cost per Unit x Number of Units Sold)
What is the purpose of posing questions in the statistical process?
To guide the data collection process and justify the type of data needed
What is the primary consideration when selecting a data collection instrument?
The nature of the data and the target population
What is the purpose of ensuring the sample is representative of the population?
To avoid bias in the data collection process
What is the formula for calculating the mean?
Mean = ∑values / number of values
What is the purpose of defining the population and sample in the data collection process?
To identify the population and select a representative sample
What is the purpose of a questionnaire in data collection?
To gather information about a group or their opinions on a particular topic
What is the purpose of comparing predicted and actual values in budgeting?
To assess the accuracy of predictions and performance
What is the purpose of a recording sheet in data collection?
To record the frequency of events, the duration of events, or specific features of events
What is the formula for calculating the net income?
Total Income - Total Expenditure
What is the purpose of collecting data from a sample?
To collect data from a smaller subset of the population
What is the importance of understanding the cost price of an item or service?
To determine how much the item must be sold for or how much must be charged for the service to cover the costs involved
What is the primary purpose of data collection?
To guide the data collection process and justify the type of data needed
What is the purpose of data summarization?
To determine the mean, median, and mode of a data set
What is the formula for calculating the cost of a specific quantity of an item or material?
(Quantity Needed / Packet Size) x Packet Price
What is the purpose of analyzing income-and-expenditure statements?
To understand the financial performance over a specific period
What is the formula for calculating the change in a value over time?
Value in Later Period - Value in Earlier Period
What is the purpose of considering additional costs when determining the selling price of an item or service?
To include other costs not covered in the initial cost price
What is the formula for calculating the cost price per item?
Total Cost of Batch / Number of Items in Batch
What is the primary purpose of using mathematical tools and techniques in decision making?
To organize and visualize the data to make an informed decision
What is the importance of setting a competitive selling price?
To avoid making the item too expensive for buyers
What is the next step after establishing the criteria for comparing two options?
Gather relevant data for each option
What is the purpose of analyzing the income-and-expenditure statements of two different periods?
To compare the financial performance over time and identify changes
What is the key difference between simple and compound interest?
Simple interest is calculated on the principal, while compound interest is calculated on the principal and interest.
What is the purpose of analyzing the costs of each option?
To calculate the total cost of each option, considering both direct and indirect costs
What is the formula for calculating the total amount in a compound interest scenario?
Total Amount = P × (1 + r)^t
What is the purpose of comparing the total costs, benefits, and risks of each option?
To make an informed decision about which option is more advantageous
What is the graph representation of compound interest?
A curve showing exponential growth.
What is the purpose of using a budget and a statement of income-and-expenditure?
To compare the predicted and actual values to assess performance
What type of account is used for regular transactions, such as withdrawals, payments, and deposits?
Transactional Account
What is the key feature of a budget?
It includes both predicted and actual values
What is the cost of borrowing money, added to the principal amount?
Interest
What is the purpose of a statement of income-and-expenditure?
To describe what has actually been spent and earned, providing an overview of the current finances
What is the sum of the deposit, all payments, and any interest or fees?
Total Cost
What is the primary purpose of comparing the options based on the criteria?
To make an informed decision about which option is more advantageous
What type of account has a fixed balance during the month, and interest is calculated on the balance at the beginning of the month?
Fixed Deposit Account
What is the purpose of assessing the potential risks of each option?
To evaluate the potential risks of each option, considering both their likelihood and impact
What is the formula for calculating the fee in a bank fee structure, where there is a fixed cost plus a percentage of the transaction value?
Fee = Fixed cost + (Percentage of transaction value)
What is the purpose of buying on credit?
To purchase an item immediately and pay for it later
What is the purpose of calculating the key metrics such as the cost-benefit ratio?
To use formulas to calculate key metrics that help in decision making
What is the difference between a loan and a hire purchase?
A loan is for borrowing money, while a hire purchase is for buying an item on credit
What is the median of a data set with an even number of values?
The average of the two middle values
When is the median a better measure of central tendency than the mean?
When the data set has extreme outliers
What is the purpose of the mode in a data set?
To identify the most frequent value
What is the range of a data set?
The difference between the highest and lowest values
Why is the range affected by outliers?
Because it only takes into account the two extreme values
What is the purpose of comparing the mean, median, and mode of a data set?
To assess the presence of outliers
What type of graph is used to show the comparison between two different categories of data?
Double bar graph
What is the purpose of a bar-of-pie chart?
To show the components of the main categories
What is the primary purpose of using two-line graphs on the same set of axes?
To identify trends in a data set over time
Why is it important to consider the presence of outliers when choosing a measure of central tendency?
Because they can skew the mean, making it unrepresentative of the data
What is the purpose of placing two line graphs on the same set of axes?
To compare changes in different data sets over time and how they change relative to each other
What is a scatter plot graph used for?
To identify the correlation between two variables
What is the term for the relationship or pattern between two variables?
Correlation
What is the purpose of sorting data?
To make sense of data by organizing it in a manageable and understandable format
What is the purpose of a frequency table?
To summarize how often different values appear in a data set
What is the formula to calculate the percentage of data points in a specific class interval?
Percentage = (Frequency of the interval / Total number of data points) x 100
What is the purpose of creating a frequency table with separate columns for different categories?
To compare the frequency of different values in each category
What is the term for points in the data that deviate significantly from the other points?
Outliers
What is the purpose of sorting data according to two criteria?
To analyze the data by organizing it into a structured format that is easy to interpret
What is the primary purpose of creating a frequency table?
To summarize how often different values appear in a data set
What is the main purpose of a quotation?
To provide a guideline of costs for a customer
What is deducted from an employee's salary to pay for medical aid?
Deductions
What does the unit price represent in a quotation?
The price of each individual item
What is the difference between a quotation and an invoice?
A quotation is a guideline of costs, while an invoice is a summary of costs
What is the formula for calculating the gross salary?
Basic Salary + Additional Incomes
What is the purpose of a receipt?
To prove that a customer has paid for an item or service
What is the relationship between the basic salary and the gross salary?
The basic salary is part of the gross salary
What is the purpose of understanding terminology in financial documents?
To understand and interpret financial documents
What is the purpose of creating a budget?
To allocate income to cover expenses, savings, and investments
What is unearned income?
Income received from sources other than employment, such as interest and dividends
What is the last step in understanding and managing sources of income?
Create a budget
What is the role of income tax in personal finance?
To recognize the government's share of income
What is the purpose of identifying all sources of income?
To understand the total amount of income received
What is the difference between gross income and net income?
Gross income is before deductions, while net income is after deductions
What is the purpose of income diversification?
To ensure financial stability by having multiple sources of income
What is the purpose of a payslip?
To provide a record of income and deductions
What is the purpose of subtracting total deductions from gross income?
To calculate net income
What is the importance of budgeting in personal finance?
To manage finances effectively and achieve financial goals
What is the main purpose of a budget?
To plan the future finances of an event, business, or organization
What is the primary purpose of using mathematical tools and techniques in decision making?
To organize and visualize the data
What is the next step after establishing the criteria for comparing two options?
Gather data for each option
What is the purpose of a statement of income-and-expenditure?
To describe what has actually been spent and earned
What is the key feature of a budget?
Comparison of predicted vs. actual values
Why is it important to consider both direct and indirect costs in a cost analysis?
To ensure that all costs are included in the analysis
What is the first step in comparing two options?
Establish the criteria for comparing the options
What is the purpose of using formulas to calculate key metrics?
To quantify and summarize the data
What is the main purpose of comparing predicted and actual values in a budget?
To evaluate performance against predicted values
What is the purpose of presenting the findings in a clear and logical manner?
To communicate the results to stakeholders
What is the purpose of break-even analysis?
To identify the point at which a business starts making a profit
What is the formula for calculating the break-even quantity?
Break-even Quantity = Fixed Costs / (Selling Price per Unit - Variable Cost per Unit)
What is the definition of break-even?
The point at which a business's total revenue equals its total cost
What is the graph representation of break-even analysis?
The intersection of two graphs: one for total costs and one for total income
What is the cost equation in break-even analysis?
Total Cost = Fixed Costs + (Variable Cost per Unit x Number of Units Sold)
What is the income equation in break-even analysis?
Income = Selling Price per Unit x Number of Units Sold
What is the purpose of drawing graphs in break-even analysis?
To identify the break-even point
What is the method of trial and improvement used for in break-even analysis?
To find the exact break-even point by substituting different values into the equations
What is the importance of break-even analysis in business?
To avoid making a loss and start making a profit
What is the difference between the break-even quantity and the break-even income?
The break-even quantity is the number of units sold, while the break-even income is the total revenue
What is the main purpose of a water tariff system?
To charge different rates for different quantities of water used
What does the incremental increase in a step-function graph represent?
The more water used, the higher the tariff and cost
What is the purpose of break-even analysis in comparing tariff systems?
To determine the point at which the costs of two tariff systems are equal
What is the formula for calculating the monthly cost in a prepaid electricity tariff system?
Monthly Cost = Rate per Unit × Units Used
What does a flat line section in a graph represent in a tariff system?
A period where the cost does not change
What is the formula for calculating the percentage increase?
Percentage Increase = (New Value - Old Value) / Old Value × 100
What is the first step in comparing two options?
Gather detailed information about each option
What is a key concept in comparing two options?
Understanding the criteria for comparison
Why is it important to consider both direct and indirect costs in a cost analysis?
Because both direct and indirect costs are significant and relevant to the decision-making process
What is the primary purpose of using mathematical tools and techniques in decision making?
To make informed decisions by analyzing and evaluating data
What is the purpose of comparing predicted and actual values in a budget?
To determine the accuracy of predictions and assess performance
What is the formula to calculate the cost of a specific quantity needed?
Cost of Quantity Needed = (Quantity Needed / Packet Size) × Packet Price
What is the purpose of analyzing income-and-expenditure statements?
To understand the financial performance over a specific period
What is the formula to calculate the change in value over time?
Change = Value in Later Period - Value in Earlier Period
What is the purpose of considering additional costs when determining the selling price?
To cover all costs involved and avoid a loss
What is the importance of understanding the cost price?
To understand how much the item must be sold for or how much must be charged for the service to cover the costs involved
What is the formula to calculate the net income?
Net Income = Total Income - Total Expenditure
What is the purpose of adjusting the cost price?
To account for other costs not considered, such as electricity, water, or rental costs
What is the importance of setting a competitive selling price?
To avoid making the item too expensive for buyers
What is the purpose of comparing income and expenditure items for two different periods?
To see changes over time and understand the financial performance
What is the main difference between simple and compound interest?
Simple interest is calculated on the principal amount, while compound interest is calculated on the principal plus any accumulated interest.
What is the formula for calculating the total amount in a compound interest calculation?
Total Amount = P × (1 + r)^t
What is the graph representation of compound interest?
A curve showing exponential growth.
What is the difference between a transactional account and a fixed deposit account?
A transactional account is used for regular transactions, while a fixed deposit account is used for long-term savings.
What is the purpose of buying on credit?
To purchase an item now and pay for it later through installments.
What is the total cost of a loan or hire purchase?
The deposit plus the interest and the monthly payments.
What is the formula for calculating the fee in a bank fee structure?
Fee = Fixed cost + (Percentage of transaction value)
What is the main purpose of a bank fee structure?
To charge a combination of a fixed fee and a percentage of the transaction value.
What is the primary purpose of a budget?
To plan the future finances of an event, business, or organization
What is the difference between a budget and a statement of income-and-expenditure?
A budget shows predicted income and expenditure, while a statement of income-and-expenditure shows actual income and expenditure
What is the formula for calculating the amount in a compound interest calculation?
Amount = P × (1 + r)^t
What is the purpose of comparing predicted and actual values of income and expenditure?
To see how well the business actually performed versus how it was planned or predicted to perform
What is the difference between a loan and a hire purchase?
A loan is used to borrow money, while a hire purchase is used to purchase an item.
What is the purpose of setting financial goals?
To create a plan to achieve short-term and long-term financial goals
What is the purpose of monitoring and adjusting a budget?
To ensure the budget is being followed and make adjustments as necessary
What is the purpose of a statement of income-and-expenditure?
To describe the current finances of an event, business, or organization
What is the formula for calculating the total expenditure?
Total Expenditure = ∑ All Expense Items
What is the purpose of UIF?
To provide financial support to employees who lose their jobs
What is the formula for calculating the percentage change in expenditure?
Percentage Change = (Actual Value - Previous Value) / Previous Value × 100%
Why is it important to plan for taxes?
To ensure compliance with tax laws
What is the purpose of posing questions in the statistical process?
To guide the data collection process and determine the type of data needed
What is the formula for calculating the mean of a data set?
Mean = (Sum of values / Number of values)
What is the term for a smaller subset of the population chosen to represent the entire population?
Sample
What is the purpose of ensuring the sample is representative of the population?
To avoid bias in the data collection process
What is the term for the document used to record the frequency of events, the duration of events, or specific features of events?
Recording Sheet
What is the first step in developing a data collection instrument?
Pose relevant questions
What is the purpose of a questionnaire?
To gather information about a group or their opinions on a particular topic
What is the term for the process of collecting data from a sample or population?
Survey
What is the purpose of ensuring the sample size is large enough?
To provide an accurate reflection of the population
What is the term for the entire group about which data is being collected?
Population
What is the primary advantage of using the median as a measure of central tendency?
It is less affected by outliers in the data.
What is the purpose of identifying the mode in a data set?
To identify the most common value in the data.
What is the formula for calculating the range of a data set?
Highest value - Lowest value
When is the mean a suitable measure of central tendency?
When the data set has no extreme outliers and is relatively evenly distributed.
What is the effect of outliers on the range of a data set?
Outliers increase the range.
What is the purpose of comparing the mean, median, and mode in a data set?
To assess the central tendency of the data in the context of the data set.
What is the advantage of using double bar graphs?
They are used to compare the frequency values for different categories over various intervals.
What is the purpose of using pie-of-pie charts?
To show the components of the main categories in a larger pie chart.
What is the primary use of line graphs?
To show how changes occur in a data set over time.
What is the effect of outliers on the mean of a data set?
Outliers can skew the mean, making it unrepresentative of the data.
What is the main purpose of placing two line graphs on the same set of axes?
To compare changes in different data sets over time and how they change relative to each other.
What type of graph is useful for comparing the type of relationship between two different variables?
Scatter plot
What is the term used to describe the relationship or pattern between two variables?
Correlation
What is the purpose of sorting data?
To make sense of data by organizing it in a manageable and understandable format
What is a frequency table used for?
To summarize how often different values appear in a data set
What is the purpose of class intervals in frequency tables?
To group large sets of data into more manageable categories
What is the formula for calculating the percentage of data points in a specific class interval?
Percentage = (Frequency of the interval / Total number of data points) x 100
What is an outlier in a data set?
A point that does not fit the general pattern
What is the purpose of sorting data according to two criteria?
To compare the height distribution within each gender group
What is the first step in creating a frequency table?
Identify the class intervals needed to group the data
What is the formula for calculating the employee's contribution to UIF?
1% × gross salary
What is the total contribution to UIF from both the employee and employer?
2% × gross salary
What is the maximum UIF deduction from an employee's salary?
R124.78
What is the purpose of an exchange rate?
To show the comparison of the value of one currency in relation to another
What is the formula for accurate currency conversions?
Converted amount = Foreign currency amount × Exchange rate
What is considered a strong currency?
A currency that exchanges for more than one unit of another currency
What is the purpose of the estimation method for currency conversions?
To provide a general idea of the amount of currency exchanged
What is the salary ceiling for calculating UIF?
R12,478.00 per month
What is the formula for calculating the employer's contribution to UIF?
1% × gross salary
What is the significance of the exchange rate in currency conversions?
It indicates how many units of one currency are equal to a certain number of units of another currency
What is the primary purpose of a payslip?
To show the employee's salary and deductions
What is the difference between a quotation and an invoice?
A quotation is a guideline of costs, while an invoice is a summary of costs
What is the formula for calculating the net pay?
Gross Salary - Total Deductions
What is the purpose of deductions in a payslip?
To decrease the employee's salary
What is the relationship between the gross salary and the basic salary?
Gross Salary = Basic Salary + Additional Incomes
What is the difference between the taxable income and the gross salary?
The taxable income is the portion of the gross salary on which tax is calculated
What is the purpose of a receipt?
To provide proof that a customer has paid for an item/service
What is the difference between a quotation and a payslip?
A quotation is for customers, while a payslip is for employees
What is the primary purpose of calculating the total deductions from the gross salary?
To determine the net pay
What is the main difference between earned income and unearned income?
Earned income is received from employment, while unearned income is received from other sources
What is the primary purpose of creating a budget?
To allocate income to expenses and savings
What is the main benefit of having multiple sources of income?
It reduces the risk of financial instability
What is the primary purpose of income tax?
To fund government programs and services
What is the main difference between short-term and long-term financial goals?
Short-term goals are focused on immediate needs, while long-term goals are focused on future needs
What is the primary purpose of a payslip?
To provide a record of income and deductions
What is the main benefit of diversifying income sources?
It reduces the risk of financial instability
What is the primary purpose of savings?
To set aside a portion of income for future use or emergencies
What is the main benefit of setting financial goals?
It helps to create a plan for achieving financial objectives
What is the primary purpose of a budget in terms of financial planning?
To allocate income to cover expenses, savings, and investments
Which of the following is a key feature of a statement of income-and-expenditure?
It provides a comparison of predicted and actual values
What is the primary purpose of setting financial goals?
To establish a plan to achieve specific financial objectives
What is the formula for calculating the total expenditure of a business?
Total Expenditure = ∑ All Expense Items
What is the purpose of comparing predicted and actual values in a budget?
To identify areas for improvement and make informed decisions
What is the primary purpose of UIF?
To provide financial support to employees who lose their jobs
What is the formula for calculating the net income of a business?
Net Income = Total Income - Total Expenditure
What is the purpose of monitoring and adjusting a budget?
To accommodate changes in income or expenses
What is the formula for calculating the percentage change in expenditure?
Percentage Change = (Actual Value - Previous Value) / Previous Value × 100%
What is the purpose of planning for taxes in terms of financial planning?
To ensure compliance with tax laws and set aside money for taxes
If an employee's gross salary is R15,000, what is the total UIF contribution?
R300
A company wants to import goods from a foreign country. The exchange rate is 1 USD = 15 ZAR. If the company needs to import goods worth 10,000 USD, how much will they need to pay in ZAR?
150,000 ZAR
If the exchange rate is 1 EUR = 18 ZAR, which currency is stronger?
EUR
What is the maximum UIF deduction from an employee's salary if their gross salary is R20,000?
R124.78
If an employee's gross salary is R12,500, what is the employer's contribution to UIF?
R124.78
What is the purpose of the estimation method for currency conversions?
To get a general idea of the amount of currency exchanged
If the exchange rate is 1 USD = 12 ZAR, and an individual wants to exchange 500 USD, how much will they receive in ZAR?
6,000 ZAR
What is the total UIF contribution if the employee's gross salary is R10,000 and the employer's contribution is 1% of the gross salary?
R200
If the exchange rate is 1 EUR = 18 ZAR, and an individual wants to exchange 1,000 EUR, how much will they receive in ZAR?
18,000 ZAR
What is the employer's contribution to UIF as a percentage of the gross salary?
1%
What is the primary factor that affects the buying power of a currency?
All of the above
What is the purpose of drawing graphs to compare tariff systems?
To determine the break-even point
What is the primary purpose of using mathematical tools and techniques in decision making?
To organize and visualize the data, calculate key metrics, and compare options
What is the benefit of using a prepaid electricity tariff system?
It allows for the calculation of the exact monthly cost
What is the primary purpose of comparing predicted and actual values in a budget?
To evaluate the performance of the business or event
What is the purpose of identifying the options in a comparison?
To gather detailed information about each option
What is the purpose of comparing predicted and actual values in a budget?
To assess the accuracy of predictions and performance
What is the formula to calculate the change in expenditure between two periods?
Change = Value in Later Period - Value in Earlier Period
What is the characteristic of a weak currency?
One unit of that currency exchanges for less than one unit of another currency
What is the main purpose of a statement of income-and-expenditure?
To describe the actual income and expenditure of an event, business, or organization
What is the importance of considering additional costs not covered in the initial cost price?
To ensure all costs are covered
What is the purpose of a percentage increase calculation?
To quantify the change between two values
Which of the following is a key feature of a budget?
The comparison of predicted and actual values
What is the primary purpose of a tariff system?
To charge different rates for different portions of a quantity used
What is the primary purpose of assessing risks in the decision-making process?
To evaluate the potential risks of each option
What is the primary purpose of analysing income-and-expenditure statements?
To understand the financial performance over a specific period
What is the benefit of using a step-function graph to represent a tariff system?
It shows a sudden change in the tariff rate at a specific point
What is the next step after defining the two options to be compared?
Establish the criteria for comparing the options
What is the formula to calculate the cost of a specific quantity needed?
Cost of Quantity Needed = (Quantity Needed / Packet Size) × Packet Price
What is the primary purpose of documenting the comparison process?
To record the comparison process, including all calculations and rationales
What is the purpose of a break-even analysis in comparing tariff systems?
To identify the point at which the costs of two tariff systems are equal
What is the purpose of adjusting the cost price to account for other costs not considered?
To ensure all costs are covered
What is the importance of comparing the selling price with market prices?
To set a competitive price
What is a key concept in comparing two options?
Considering both direct and indirect costs
What is the benefit of considering both direct and indirect costs in a cost analysis?
It allows for a comprehensive understanding of the total costs associated with each option
What is the primary purpose of using formulas to calculate key metrics in the decision-making process?
To calculate the cost-benefit ratio, break-even point, or return on investment (ROI)
What is the purpose of calculating the net income?
To show the profitability of a business or project
What is the formula to calculate the difference between actual and predicted values?
Difference = Actual Value - Predicted Value
Why is it important to compare the total costs, benefits, and risks of each option?
To make an informed decision about which option is more advantageous
What is the importance of setting a balanced and appropriate selling price?
To ensure profitability and competitiveness
Which of the following is a graphical representation of a tariff system with a fixed cost and a variable fee that increases at a constant rate for every unit?
Linear graph increasing at a rate of the given percentage for every unit
What is the primary purpose of posing questions in the statistical process?
To guide the data collection process and inform the methods used for data collection, organization, representation, and measurement
What is the definition of a population in the context of data collection?
The entire group about which data is being collected
What is the purpose of ensuring the sample accurately represents the population?
To avoid bias in the data collection process
What is the formula for calculating the mean of a data set?
( ext{Mean} = rac{\sum ext{values}}{ ext{number of values}} )
What is the total cost of batch if the cost of each ingredient or material is $10, $20, and $30?
$60
What is the primary purpose of using a questionnaire in data collection?
To gather information about a group or their opinions on a particular topic
What is the definition of bias in the context of data collection?
When the data collection process is influenced by personal opinions or external factors
What is the cost price per item if the total cost of batch is $60 and the number of items in the batch is 10?
$6
What is the break-even point in a business or organization?
The point where the business breaks even, covering all expenses
What is the main difference between simple and compound interest?
Simple interest is calculated on the principal, while compound interest is calculated on the principal and interest
What is the purpose of identifying the population in the data collection process?
To determine the type of data to be collected
What is the definition of a recording sheet in the context of data collection?
A document used to record the frequency of events, the duration of events, or specific features of events
What is the horizontal axis value in the graphical representation of break-even analysis?
Quantity of items sold
What is the formula for calculating the total amount in a compound interest scenario?
P × (1 + r)^t
What is the characteristic of a compound interest graph?
A curve showing exponential growth
What is the purpose of selecting the data collection instrument?
To choose the most effective tool for collecting the data, considering the nature of the group or objects from which data will be collected
What is the equation to determine the break-even point using equations?
Selling price per unit × number of units sold = fixed costs + (variable cost per unit × number of units sold)
In a transactional account, how is interest calculated?
Daily, based on the balance at the end of each day
What is the formula to calculate the break-even quantity?
Fixed costs / (selling price per unit - variable cost per unit)
What is the interpretation of the break-even quantity?
The number of units that must be sold to cover all costs
What is the difference between a hire purchase and a loan?
A hire purchase is used to buy an item, whereas a loan is used to borrow money
What is the graphical representation of simple interest?
A linear (straight line) graph
What is the total cost of a hire purchase or loan?
The principal amount plus the deposit, interest, and fees
What is the formula for calculating simple interest?
Interest = P × r × t
What is the purpose of calculating the total amount in a compound interest scenario?
To determine the total amount of money owed or invested
What is the formula for calculating the interest in a simple interest scenario?
P × r × t
What is the total amount in a simple interest calculation?
P + (interest × t)
What is the characteristic of a simple interest graph?
A straight line showing a constant increase
What is the purpose of comparing the total cost of a hire purchase and a loan?
To make an informed decision about which option to choose
What is the primary advantage of using the median as a measure of central tendency?
It provides a more accurate representation of the data in the presence of outliers.
Which of the following graphs is most suitable for comparing the frequency values of different categories over various intervals?
Double Bar Graph
What is the main disadvantage of using the range as a measure of spread?
It only takes into account the two extreme values.
Which of the following is a characteristic of a data set with outliers?
The data set is skewed.
What is the purpose of identifying the mode in a data set?
To identify the most common value in the data.
When would you use the mean as a measure of central tendency?
When the data set is normally distributed with no extreme outliers.
What is the purpose of calculating the range of a data set?
To determine the spread of the data.
When would you use a Vertical Stack Graph?
To show the total frequency of two combined categories and illustrate the different components making up this total frequency.
What is the purpose of comparing the mean, median, and mode in the context of a data set?
To choose the measure that best represents the data.
Why is it important to consider the presence of outliers when choosing a measure of central tendency?
Because outliers can make the mean an unrepresentative measure of central tendency.
What is the primary purpose of creating a scatter plot graph?
To identify patterns in the relationship between variables and determine the strength of the correlation
What is an outlier in a scatter plot graph?
A point that deviates significantly from the other points
What is the purpose of sorting data?
To organize data in a manageable and understandable format
What is the first step in creating a frequency table?
Identify the class intervals needed to group the data
What is the formula for calculating the percentage of data points in a specific class interval?
(Frequency of the interval / Total number of data points) × 100
What is correlation in the context of scatter plot graphs?
A description of the relationship or pattern between two variables
What is the purpose of class intervals in frequency tables?
To group large sets of data into more manageable categories
What is the benefit of sorting data according to two criteria?
It enables the analysis of data by organizing it into a structured format
What is the purpose of calculating the percentage values for each frequency in a frequency table?
To make it easier to compare the distribution of data across different categories
Make Your Own Quizzes and Flashcards
Convert your notes into interactive study material.
Get started for free
