R118 212, 21 Question 16
A family takes out an R800 000 mortgage from the bank to buy a new home. The bank charges
interest at an annual rate of 14% compounded monthly over 20 years. How much of the
outstanding balance on the loan will the family still owe at the end of the first year?
1. R772 687,39
2. R783 083,94
3. R792 129,68
4. R799 385,17​

Answer: 900°

good luck on your studies! : )

david edward.

First step is to get rid of the square root. remember that a square root is the same as raising to the (1/2) power. see below: multiply exponents per exponent rules to get: remember you subtract exponents from the denominator and add exponents in the numerator so: simplify further: so a is the correct choice. if you don't understand this google exponent rules and it will you understand. look at the image results.