Raya buys a van for £8500 plus VAT at 20%

Raya pays a deposit for the van.

She then pays the rest of the cost in 12 equal payments of £531.25 each month

Find the ratio of the deposit Raya pays to the total of the 12 equal payments.

Give your answer in its simplest form.

They buy the van for £8,500 + VAT 20%:

Total paid for the van = £8,500 x 1.20 = £10,200

They make 12 payments of £531.25 for a total of:

12 x £531.25 = £6,375

To find the amount of deposit, subtract the total payments from total cost:

£10,200 - £6,375 = £3,825

The ratio of deposit to the payments is: 3825 : 6375

Reduce the answer by dividing both numbers by 75:

3825/75 = 51

6375 / 75 = 85

The ratio becomes: 51/85