GAUTENG EAST DISTRICT

MATHEMATICAL
LITERACY
REVISION MATERIAL

YEAR: 2023

GRADE 12
PAPER 1
QUESTION 2
 QUESTION 2

2.1 Ms Nolo Mabuya is the Project manager at Monster & Co. The table below shows
her monthly salary slip (some data omitted).

Note: Employer and employee each contribute a monthly amount of 1% of the

employee’s gross salary for UIF.

Salary Advice Ms Nolo Mabuya

Pay date : Date Employed: ID Number: Occupation:

2020-11-30 2004-01-31 81031486085408 Project Manager
Employee
number:
HE6608
Description Earnings Deductions.
Basic Salary R18 825 PAYE R2 200
UIF A
Pension fund B
Medical Aid R2 800

Total Gross salary R18 825 Total Deductions C

Nett pay : D

2.1.1 Explain the term employer. (2)

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

2.1.3 State ONE benefit of contributing towards the UIF. (2)

2.1.4 Calculate the value of A. (2)

2.1.5 Calculate Ms Mabuyas’ monthly pension contribution (B), if she contributes

7,5% of her monthly Gross salary towards her pension fund. (2)

2.1.6 Calculate Ms Mabuyas’ total monthly deductions (C). (2)

2.1.7 Determine Ms Mabuya’s Nett income for November, indicated as D on the

salary advise. (2)
2.2 Ms Mabuyas’ husband is 54 years old and is an employee at SABS. He receives an
annual income of R448 000 for the 2020/2021 tax year.
Note:
*Mr Mabuya contributes 7,5% of his basic salary to his pension fund.
*He donates R50 000 yearly to a charity of his choice, this donation is
tax deductable.
*He contributes R5 450 to the medical aid monthly for himself and his 2
children, taken into consideration that Ms Mabuya contributes to her own medical
aid.
*Use Annexure C, the tax table for individuals for the tax year: March 2020-
28 February 2021 and answer the following questions:

2.2.1 Show, using calculations that Mr Mabuyas’ taxable income is R 364 400 p.a. (4)

2.2.2 Determine Mr Mabuyas’ annual medical credits. (3)

2.2.3 Hence, calculate Mr Mabuyas’ annual income tax. (5)

2.3 Mr and Ms Mabuya are considering buying a house in the Montana area of Pretoria,
they do not have the cash to buy a house so they have to explore factors and costs
involved in buying a house. Below is an advert they saw on the internet. Study the
advert and answer the questions that follow:

[Adapted from www.property24.com]

2.3.1 Mr and Ms Mabuya are interested in the above 3 Bedroom house. The bank
require a 10% deposit on the house. How much money would Mr and Ms
Mabuya need to pay as a deposit. (2)

2.3.2 Determine the loan amount:

You may use the formula:

Loan amount = Total price of house – Deposit payed. (2)

2.3.3 Interest charged on Mr and Ms Mabuyas’ loan will be Prime + 1,25%. The
prime amount currently is 9%. Determine the interest rate charged for the
house in Pretoria Montana. (2)

2.3.4 Make use of the factor table, Annexure D and determine the monthly
repayment on the house in Pretoria Montana, if Mr and Ms Mabuya plan to
repay the house over a 20 year period.

You may use the following formula : (4)

𝑳𝒐𝒂𝒏 𝒂𝒎𝒐𝒖𝒏𝒕
Monthly repayment = × factor
𝟏𝟎𝟎𝟎

[36]
ANNEXURE C
Question 2.2

RATES OF TAX FOR INDIVIDUALS

2021 tax year (1 March 2020-28 February 2021)

Taxable income (R) Rates of tax (R)

1 – 205 900 18% of taxable income

205 901 – 321 600 37 062 + 26% of taxable income above 205 900
321 601 – 445 100 67 144 + 31% of taxable income above 321 600
445 101 – 584 200 105 429 + 36% of taxable income above 445 100
584 201 – 744 800 155 505 + 39% of taxable income above 584 200
744 801 – 1 577 300 218 139 + 41% of taxable income above 744 800
1 577 301 and more 559 464 + 45% of taxable income above 1 577 300

Tax Rebate Tax Year

2021 2020 2019 2018 2017 2016 2015
Primary R14 958 R14 220 R14 067 R13 635 R13500 R13 257 R12 726
Secondary (65 and older ) R8 199 R7 794 R7 713 R7 479 R7 407 R7 407 R7 110
Tertiary (75 and older ) R2 736 R2 601 R2 574 R2 4930 R2 466 R2 466 R2 367

Tax Thresholds Tax Year

2021 2020 2019 2018 2017 2016 2015
Under 65 R83 100 R79 000 R78 150 R75 000 R75 000 R73 650 R70 700
65 and older R128 R122 R121 000 R117 R116 R114 R110
650 300 300 150 800 200
75 and older R143 R136 R135 300 R131 R129 R128 R123
850 750 150 850 500 350

Medical Tax Credit Rates

Per month (R) 2021 2020 2019
For the taxpayer 319 310 310
For the taxpayer and one dependant 638 620 620
For each additional dependant 215 209 209
ANNEXURE D
Question 2.3.4

[Adapted from capetownproperty.blaauwberg.net]

 Bongiwe received her levy statement of account from Rango Property Specialist for her
rented unit.

ANNEXURE A shows her adapted statement of account.

Use ANNEXURE A to answer the questions that follow.
2.1. Calculate the new standard levy after the increase (4)

2.1.1 Write down the reference number that Bongiwe must use when she pays
her account.

2.1.2 Give ONE reason why reference numbers are used when making payments.

2.1.3 Calculate the missing value A, which has been omitted from the statement.

2.1.4 The total amount due for this invoice is R2 340,73, including 15% VAT.

Calculate the total amount due, excluding VAT.

2.1.5 Calculate (rounded to TWO decimal places) the standard levy for
June 2021 as a percentage of the amount due on the statement.

2.1.6 Write down a possible payment option Rango Property Specialist will
accept.

2.1.7 Blueberry Gardens have 49 units in total.

Calculate the total amount collected by the body corporate if all 49 units
paid their levy CSOS on 1 July 2021.

2.1.8 The Blueberry Gardens body corporate increased the standard levy by
6,450/0 from I August 2021.
Bongiwe has twins, Sandile and Sakhile, who attend a private school.

The total fees payable per child for the school year (January to November) is as follows:

Charges for aftercare are R7 700 per school vear or R700 monthly.
The first child's school fee is R2 793 per month or POO 723 per school year.
A 10% discount on school fees is given to a second child.
A further 7,5% discount is given if school fees are paid in full by 3 1 January.
The monthly transport cost is R929.
[Adapted from http://www.schoolcommunicator.com]
 Use the information above to answer the questions that follow.

2.2.1 Calculate the total transport cost for the twins for a full school year. (3)

2.22 Bongiwe intends on paying the school fees in full on 30 January.

Determine the total amount of money Bongiwe will spend in ONE school
year for the twins to attend the private school, including aftercare and
transport. (8)
[32]

Mrs Ndlovu, who is 58 years old, earns a monthly income of R60 000.
Each month she contributes the following from her monthly income:

• Medical aid for herself, her husband and two children

• 7,5% of her basic income is contributed to a pension fund.
• 1% of her basic income is contributed to the UIF (max. R148,72).

Use the tax table on ANNEXURE B in the ADDENDUM to answer the questions that
follow.

2.1.1 Explain what the tax threshold for people 65 years and younger means to a

taxpayer. (2)

2.1.2 Calculate Mrs Ndlovu’s annual taxable income. (5)

2.1.3 Determine Mrs Ndlovu’s annual medical aid tax credits. (4)

2.1.4 Mrs Ndlovu stated that her monthly tax contribution is R 9 111,75.

Verify, showing ALL calculations, whether her statement is valid. (8)

2.2 The reality is that education is expensive. Refer to the table of comparative education fees
in ANNEXURE C in the ADDENDUM, to answer the questions that follow.

2.2.1 What is the difference between public primary school fees and private

primary school fees for the year 2020? (3)

2.2.2 Minenhle’s parents are planning on sending him to a private school and

expect to pay R20 725 per month for the first 12 months that he is in high

school. In what year will he start high school? (3)

2.2.3 Joshua’s parents realised that education is expensive and started saving to start
his university education in 2025.
 At the end of 2021 they would have saved R88 653,77. They decided
to invest this amount at 6,6% p.a. compounded interest for the 3
remaining years.

Joshua worked out during his Mathematical Literacy class that his
parents will not have saved enough money by the end of 2024 and
will have to add about R250,00.

Verify, showing ALL calculations, whether Joshua’s calculations were valid.

(7)

2.3 Electricity can be purchased from Eskom in two ways, prepaid and post-paid.
Below is an adapted, comparative table to answer the questions that follow.

System name Fixed monthly

Cost per unit (c/kWh)
cost
Prepaid R200,00 70,855
Post-paid nil 0 – 50 69,36
50,1 – 350 81,60

350,1 – 600 127,02

Prices exclude VAT of 15%

2.3.1 Determine the fixed monthly cost for the prepaid system. (2)

2.3.2 If a household uses 286 kWh of electricity on the post-paid system, how
much would they pay for their electricity consumption, excluding VAT?
(5)

2.3.3 A household bought electricity for R720, including VAT, on the prepaid

system. Determine how much electricity they can use. (5)

[44]
ANNEXURE A
QUESTION 2.1
Levy Statement/Tax Invoice

Mrs Bongiwe Dlamini

Vuuren Road Statement Date: 1
July 2021

Glen's Nek Payments Up To: 19

June 2021

1806 Premises: UNIT 16

Use the followino reference on your a ment: Amount Due:

16 Blueberry Gardens

BGD0016 R2 340, 73

Transactions

Date Details Debit Credit Balance

1 June 2021 Balance Brought Forward 894,55

1 June 2021 Standard Levy June 2021 1 498,63 2 393,18

1 June 2021 Insurance Additional June 2021 5,59 2 398,77

1 June 2021 Domestic Effluent June 2021 510,55 2 909,32

1 June 2021 Levy CSOS June 2021 30,90 2 940,22

1 June 2021 Maintenance Plan (10 years) June 2021 265,29 3 205,51

1 June 2021 ACB CREDIT SETTLEMENT - BGD0016 -3 206,00

1 July 2021 Standard Levy July 2021 1 498,63 1 498,14

1 July 2021 Meter-reading Fee — Electricity July 2021 15,13 1 513,27

1 July 2021 Insurance Additional July 2021 5,59 1 518,86

1 July 2021 Domestic Effluent July 2021 510,55 2 029,41

1 July 2021 Meter Reading Fee — Water July 2021 15,13

1 July 2021 Levy CSOS July 2021 30,90 2 075,44

1 July 2021 Maintenance Plan (10 years) July 2021 265,29 2 340,73

Amount Due: R2 340,73

Bank Details Important: No cash payments

Bank: SLR I. Cheques payable to the body corporate

 MATHEMATICAL LITERACY 3
(Paper 1) ADDENDUM
10601/21
ANNEXURE B
Question 2.1 TAX TABLE

[https://www.allangray.co.za/latest-insights/personal-investing/2020-budget-speech-update/]

Tax thresholds

• R83 100 for taxpayers younger than 65

• R128 650 for taxpayers aged 65 to 74

• R143 850 for taxpayers aged 75 and over

Rebates

• R14 958 per year for all individuals

• R8 199 for taxpayers aged 65 and over

• R2 736 for taxpayers aged 75 and over

Medical tax credits

• R319 per month per beneficiary for the first two beneficiaries

• R215 per month for each additional beneficiary

ANNEXURE C
QUESTION 2.2