Finance

Tariff systems

Prepaid electricity, municipal water, taxi fares. Fixed charge plus a rate per unit.

CAPS

Grade 10 · Mathematical Literacy · Finance

Mathematical Literacy uses a context, not a bare sum.

  • Two papers

    Paper 1 uses familiar contexts: pay slips, till slips, maps you have seen, and data in a table. Paper 2 uses less familiar contexts and expects you to decide which method fits. Both papers are 150 marks.

  • What to show

    Write the value with its unit or its rand sign. Say whether you multiply or divide, and round only at the end, in the way the question asked (nearest rand, one decimal place, a whole number of tiles).

  • The relation

    cost = fixed charge + (rate × units). Two-part tariff

  • How a marker reads it

    If there is a fixed charge, add it after the units. Do not multiply the fixed charge by the units.

A correct number with the wrong unit, or a VAT amount treated as the full price, loses the mark the context was testing.

Diagram

Tariff systems

Worked example

Eskom prepaid: R1.80 per kWh, no fixed charge. 40 kWh costs?

Before any working — hunt first

Given

Numbers and units already in the sentence: R1.80 per · 40 kWh. Copy each one into a column. A name without a number is not given.

Missing

After you copy the given, the letter that still has no number is missing. The paper is pointing at: 40 kWh costs. Circle that word — that is the missing variable.

Find

We are required to find: 40 kWh costs. Write that as a symbol on the left, with a question mark, before you touch a formula.

Calculate

Write cost = fixed charge + (rate × units) with empty letters. Cross out every letter that already has a number. Calculate the letter that is still standing — that gives 40 kWh costs.

Simplified approach

Multiply the rate by the units.

Culture note

A prepaid meter in a RDP house in Northam is this tariff.

Formulas

cost=fixed charge+(rate × units)

Two-part tariff

Exam tricks you must know

These are the moves markers look for — not shortcuts that skip the method, but the habits that earn the method mark.

  • If the price already includes VAT, divide by 1.15 — do not subtract 15%

    How:Total = price × 1.15 when VAT is still to be added. When the till already shows VAT, price excluding = total1.15. Subtracting 15% of the total is a different number and loses the mark.

    When to use it:Till slips, VAT, and SARS-style tax questions.

  • Fencing is perimeter. Grass, paint and tiles are area. Tanks are volume.

    How:Underline the object: wire, border, fence → add the sides. Floor, wall, field, paint → multiply length by width, then divide by coverage and round tins up. Water in a tank → m³ then × 1 000 for litres.

    When to use it:Measurement papers: school fields, paint, Jojo tanks.

Step 1 / 5

Name the rate

R1.80 for every kWh. 40 kWh used.

1.80×40=72

Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.

4. Step-by-step working

  1. 01

    Name the rate

    R1.80 for every kWh. 40 kWh used.

    1.80×40=72
  2. 02

    Multiply

    Cost=R72.00.

More worked examples

Board walkthroughs on this topic. Open one, copy the working, then try the next.

Example 1 / 20

A tariff charges R2 per unit for the first 100 units and R4 per unit after that. A household uses 130 units. Find the cost.

4. Step-by-step working

  1. 01

    Multiply

    First block: 100×2=R200.

    R200
  2. 02

    Multiply

    Extra units: 30×4=R120.

    R120
  3. 03

    Add

    Total=200+120=R320.

    R320

How we got there

Read this like a teacher at the board. We go slowly, name every number, and say why we take each step.

Explain in another language · 11

1. What is the question asking?

Read the question twice. Circle the unknown. Underline every number and unit. The paper is asking: A tariff charges R2 per unit for the first 100 units and R4 per unit after that. A household uses 130 units. Find the cost.

Before any working — hunt first

Given

Numbers and units already in the sentence: R2 per · 100 units · R4 per · 130 units. Copy each one into a column. A name without a number is not given.

Missing

After you copy the given, the letter that still has no number is missing. The paper is pointing at: the cost. Circle that word — that is the missing variable.

Find

We are required to find: the cost. Write that as a symbol on the left, with a question mark, before you touch a formula.

Calculate

Write R200 with empty letters. Cross out every letter that already has a number. Calculate the letter that is still standing — that gives the cost.

In other words — as if you have never seen this before

If you have never seen this before: Split the usage at the block. Do not charge every unit at the higher rate, and do not charge the first block at the higher rate. We will name a method in words, write the formula with no numbers, then substitute one line at a time.

2. What do we already know?

First 100 at R2, then R4. Usage 130.

3. Which method — and why this one?

Split the usage at the block. Do not charge every unit at the higher rate, and do not charge the first block at the higher rate.

4. Step-by-step working

  1. 01 / 06

    Multiply

    First block: 100×2=R200.

    R200

    Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.

  2. 02 / 06

    Multiply

    Extra units: 30×4=R120.

    R120

    Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.

  3. 03 / 06

    Add

    Total=200+120=R320.

    R320

    Why this step: We only do one job per line so a marker can follow the marks — and so you can find a slip without starting over.

  4. 04 / 06

    Step G — Sense-check the size

    Ask: is this the kind of number a Grade 10–12 paper would want? A speed of 3 000 ms for a learner walking, or a probability bigger than 1, means a unit or algebra slip. Estimate first: round the numbers and do the sum in your head.

    Why this step: Markers write ‘unrealistic’ in the margin when the method is right but the size is wild. A 10-second head check often finds a missing 10² or a unit that never changed.

  5. 05 / 06

    Step F — Box the answer with its unit

    R320

    Why this step: A number without a unit is half a mark on a Physics paper, and a marker can miss a Maths answer that is buried in working.

  6. 06 / 06

    Step H — What the marker is looking for

    On an NSC memo you usually earn: (1) a method mark for naming the right formula or idea in words, (2) an accuracy mark for substituting the given numbers with units, (3) an accuracy mark for the boxed answer with its unit. Write those three lines even if you are unsure of the arithmetic — blank pages score zero.

    Why this step: First-timers chase the final number and leave the method blank. The memo still pays out for the idea and the substitution even when the last line is wrong.

5. The answer

R320

Copy onto your answer sheet — in this order

Formula: R200

Answer: R320

6. Check it like a marker

Charging all the units at the second rate ignores the cheaper block the tariff promised.

7. A trap first-timers fall into

First-timers often grab the first formula they remember, mix units (cm with m, minutes with seconds), or drop a minus sign. Write the formula in words first: “this equals that, because…”

Ntsako · fx-991ZA PLUS. Tap to calculate.