Money and budgeting (FS)
Income vs expenditure, percentage of monthly bill, VAT, simple/compound interest.
Real-world FSM: split income across rent, utilities, food, transport. Calculate VAT-included totals (UK 20%). Compare loan options.
Worked examples
Income £1800/month; rent £700; utilities £200; food £300; transport £150. Saved: £450.
Item £120 + 20% VAT = £144.
Loan £5000 at 8% pa for 3 yrs (simple): interest £1200; total repayable £6200.
Frequently asked questions
Compound vs simple interest?
Simple: interest only on principal. Compound: interest on accumulated balance. Compound grows faster.
VAT inclusive vs exclusive?
Most UK consumer prices are VAT-inclusive. Net = gross / 1.20.