Term 2 Week 6 – Finance

Monday 18-05-2020 Definitions

Tuesday 19-05-2020 Household bills

Wednesday 20-05-2020 Documents for buying

Thursday 21-05-2020 Profit and loss

KWAGGASRAND SCHOOL

MATHEMATICS

YEAR 3

LEARNER WORK DURING LOCKDOWN

TERM 2 WEEK 6

TEACHER: MR. A. DU PLESSIS

LESSON 21

DEFINITIONS

It is very important to understand each of these words when working with money.

Heading Definition

Profit The extra money that a business makes when they sell something. Selling price – manufacturing cost = profit

Loss When the client pay less for the product than what it cost to make the product. Manufacturing cost – Sale price = Loss

Discount When you pay less for a product of service than what it originally cost.

Budget Document that shows income and expenses

Bill Document that list all money to be paid.

Salary Money that you get payed for work being done.

VAT Value Added Taxes. 15% from 1 April 2018

Sale price The price of a product or service

Manufacturing cost The price that it cost to make a product or to provide a service.

1. Give the definition of the following words.

a) Salary: _________________________________________________________

_______________________________________________________________

b) Budget: ________________________________________________________

_______________________________________________________________

c) Discount: _______________________________________________________

_______________________________________________________________

d) Bill: ___________________________________________________________

_______________________________________________________________

e) VAT: __________________________________________________________

_______________________________________________________________

2. Give the name that best fits the following description.

a) The price that it cost to make a product or to provide a service is called

____________________.

b) The extra money that a business makes when they sell something is called

____________________.

c) The price of a product or service is called ____________________.

d) When the client pay less for the product than what it cost to make the product is

called ____________________.

e) Value Added Taxes is called ____________________.

3. What do you think the following pictures mean? You can use the words in the

word block below to help you.

__________________________

__________________________

__________________________

___________________________

___________________________

Salary ; Profit ; Manufacturing cost ; Loss ; Budget

a)

b)

c)

d)

e)

LESSON 22

HOUSEHOLD BILLS

Household bills consist out of bills like a municipal bill, electricity bill and telephone

bills. When you make use of any of these services you will receive a bill that you

need to pay each month. In this activity we will learn more about this bill.

The following is an example of a cell phone bill.

Company logo

from whom the

bill is from Company

information

Personal

information

(Who the

bill is for)

Account

information

Account

explained

..

Amount to

be paid

TAX amount paid

Bill history

Company banking details for payment of account

If something is wrong with the bill, you can phone the

number listed, go to their website or even send an e-mail.

There are many types of bills, but most bills will consist of the same information as

given above.

1. Use the following bills to answer the questions that follow.

Bill 1

Bill 2

Bill 1: Questions

a) To whom does the account belong?

____________________________________________________________

b) What is the address of the place for this account?

____________________________________________________________

c) What is the account number?

____________________________________________________________

d) Where can this account be paid?

____________________________________________________________

e) If there is something unclear on this account, what number can be phoned?

____________________________________________________________

f) According to the account, when was the last payment made?

____________________________________________________________

g) How much was the last payment?

____________________________________________________________

h) When is the due date for this account?

____________________________________________________________

i) What is the total amount that needs to be paid?

____________________________________________________________

Bill 2: Questions

a) How much did Mrs Tolon owe on this account?

____________________________________________________________

b) What is the amount owed on this account?

____________________________________________________________

c) What month is this account for?

____________________________________________________________

d) What is the total amount payable?

____________________________________________________________

e) Name two ways this account can be paid.

____________________________________________________________

f) From which company is this bill?

____________________________________________________________

LESSON 23

DOCUMENTS FOR BUYING

Document of purchase is given every time that something is bought, a till slip.

This slip shows everything that you bought, what the total was, how much money

you gave the cashier, what is your change, etc. Slips differ from shop to shop, but in

South Africa the law states that the following MUST be on a slip.

Name of the shop The address of the shop The shop’s TAX number

The words “Tax Invoice” The shop’s invoice number Date and time of purchase

Description of what was bought

The amount of VAT that was added (15% from 1 April 2018)

The total amount payable

It is important to know that there are some items on which you are not supposed to

be paying TAX. These items include:

Paraffin Brown bread Maize meal Samp

Dried corn Dried beans Canned sardines Milk powder and Milk

Rice Vegetables Fruit Eggs

1. Thando got the following slip when she paid for her groceries. Use the slip to

answer the following questions.

a) How did Thando pay for her groceries?

_______________________________________________________________

b) How much does 1L Vegetable oil cost at Sunshine Superette?

_______________________________________________________________

c) If there are 6 muffins in the pack of muffins that Thando bought, what is the

price for one muffin?

_______________________________________________________________

d) What is the last date that Thando can return or exchange her goods? Why

would she want to do that?

_______________________________________________________________

e) Thando gave the cashier R150,00 and she received R19,75 change. What did

Thando pay for her groceries?

_______________________________________________________________

f) Why do you think there is a small difference between your answer and the Total

on the slip?

_______________________________________________________________

g) How many items did Thando buy?

_______________________________________________________________

h) What time of day did Thando go to the shop?

_______________________________________________________________

i) Where is the supermarket?

_______________________________________________________________

j) What is the company’s name from which Thando bought?

_______________________________________________________________

k) What is the customer helpline number?

_______________________________________________________________

l) What is the percentage (%) tax that was paid?

_______________________________________________________________

m) What was the cashier’s name that helped Thando?

_______________________________________________________________

n) How much did Thando pay for shampoo?

_______________________________________________________________

LESSON 24

PROFIT AND LOSS

By looking at profit and loss, we can tell whether a company or a person is making

money or not.

Profit: The extra money that a business makes when they sell something.

Selling price – manufacturing cost = profit

Profit means to make money.

Loss: When the client pay less for the product than what it cost to make the product.

Manufacturing cost – Sale price = Loss

Loss means that you are losing money.

Let’s use an example:

You start your own business and decide to sell cookies and “stok sweets” (lollipops).

You paid R1,00 for each “stok sweet” (lollipop) that you bought and R2,00 for each

pack of cookies you bought. You are selling the “stok sweets” (lollipops) at R2,00

and the packs of cookies at R 1,50.

Are you going to make money with the “stok sweets” (lollipops) and cookies, or not?

Price charged – price you paid for your product = Profit or loss

“Stok sweets” (lollipops): R2,00 – R1,00 = R1,00 (profit)

Cookies: R1,50 – R2,00 = - R0,50 (loss)

When doing your calculation, if the number ends on a negative number, you are

making a loss. If the number ends on a positive number you are making a profit.

By calculating profit and loss, you can clearly see that you will have to change the

price of the cookies in order to make a profit.

1. A company buys 10 travel cases at R150 each and sells them at R300 each.

Answer the following questions.

1.1. Will the company make or lose money?

_____________________________________________________________

_____________________________________________________________

_____________________________________________________________

1.2. If the company sells 10 cases in total, how much money will they make or lose?

_____________________________________________________________

_____________________________________________________________

_____________________________________________________________

1.3. If 5 of the 10 cases were stolen before they could be sold, would the company

still make or lose money?

_____________________________________________________________

_____________________________________________________________

_____________________________________________________________

2. Your friend decides to go on a business venture. He is going to sell muffins and

ice creams.

He buys the muffin mix for R25 and makes 12 muffins from the mix and decides

to sell each muffin at R3 each.

He bought the ice cream at R30 and the cones at R20. From this he make 10

ice creams and sells them at R5 each.

2.1. What does it cost to make 1 muffin?

_____________________________________________________________

_____________________________________________________________

_____________________________________________________________

2.2. What does it cost to make 1 ice cream?

_____________________________________________________________

_____________________________________________________________

_____________________________________________________________

2.3. How much money does your friend make when he sells all his muffins?

____________________________________________________________

____________________________________________________________

____________________________________________________________

2.4. How much money does your friend make when he sells all his ice creams?

____________________________________________________________

____________________________________________________________

____________________________________________________________

2.5. Is he making a profit or loss with the muffins?

____________________________________________________________

2.6. Is he making a profit or loss with the ice creams?

____________________________________________________________

2.7. How much money did he make in total?

____________________________________________________________

2.8. Did your friend make a profit or loss after selling all his goods?

____________________________________________________________

3. Your teacher is selling pens at R2,00 per pen. He bought a box of 50 pens at

R130. Answer the following questions.

3.1. How much money does your teacher make if he sells all the pens?

_____________________________________________________________

3.2. How much money does your teacher make if 10 of the 50 pens are not

working?

_____________________________________________________________

3.3. If your teacher sold all 50 pens, would he make a profit?

_____________________________________________________________

3.4. If your teacher sold only 40 pens, would he make a profit?

_____________________________________________________________

3.5. For your teacher to be able to make a profit, how much would he have to

charge for a pen?

_____________________________________________________________