A Television can be bought for 5,300 cash or hire purchase with a down payment of 800 and 20 monthly installments of 275 . What is the difference between the H.P price and the cash price? (a) 300 (b) 1,000 (c) 1,300 (d) 6,000 1 point

To find the difference between the hire purchase (H.P) price and the cash price, we need to calculate the total cost of the television when bought through hire purchase and then subtract the cash price from it.<br /><br />The total cost of the television through hire purchase is the sum of the down payment and the total amount of the monthly installments. The total amount of the monthly installments is the product of the number of monthly installments and the amount of each installment.<br /><br />Total cost of hire purchase = Down payment + (Number of monthly installments * Amount of each installment)<br />Total cost of hire purchase = $800 + (20 * $275)<br />Total cost of hire purchase = $800 + $5500<br />Total cost of hire purchase = $6300<br /><br />Now, we can find the difference between the hire purchase price and the cash price by subtracting the cash price from the hire purchase price.<br /><br />Difference = Total cost of hire purchase - Cash price<br />Difference = $6300 - $5300<br />Difference = $1000<br /><br />Therefore, the correct answer is (b) $1,000.