If interest is at the rate of 8% compounded semi-annually, what sum must be invested at the en each 6 months to accumulate Php100,000.00 at the end of 5 years? a. P8,932.00 O b. P8,392.00 O c. P8,329.00 O d. P8,239.00
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- 1.Engr. Dy deposited an amount of Php 8635.9 in a bank’s savings account with interest 7.5% compounded monthly. What amount will he get at the end of 19 months? 2.A man borrowed Php 120,000 and promised to pay annually for 5 years. The payment starts at "X" pesos. The man intends to increase his payments by Php 5,000 at the end of each successive year. If the interest rate is 8% compounded annually, how much will the first payment be? If the man decides to pay annually with 8 equal payments with the first payment to be made after 4 years, what will be the amount of the annual payment? Construct the cash flow diagram for both cases.A series of 10 annual payments of Php 200, 000.00 is equivalent to two equal payments, one at the end of 15 years and the other at the end of 20 years. The interesi rale is 8%, compounded annually. What is the amounl of Ihe two equal payments?
- Consider an EOY geometric gradient, which starts at EOY 2 with an initial value $13500 and continues till EOY 9 with a geometric gradient-6% per year. Find the equivalent uniform series (annuity) over the full period if the interest rate is 20% per year. O 13500 O12547 O 10800 O 14850 16200suppose that $2700 is set aside each year and invested in a savings account that pays 8% interest per year, componded continously, part b: in part a,suppose that an annuity will be withdrawn from savings that have been accumulated at the EOY 25. The annuity will extend from teh EOY 26 to EOY 33, what is the value of this annuity if teh interest rate and componding frquency in part a do not changeMr. P has a debt of Php5,000 due in five years is to be repaid. Php2,000 now and a second payment at the end of 6 years. How much should the second payment be if the rate of interest is 6% compounded quarterly
- 2. Marion would like to purchase a used car, which requires a down payment of 80,000.00 pesos. He is willing to pay a monthly amortization equal to 25% of his monthly salary. if the seller will agree to a down payment and the balance payable in 3 years at 16% per year payable in monthly basis, how much is the cash value of the car if the first payment will be due at the end of the first month? Mario is receiving a monthly salary of 16,000.00 pesos a month. Show the cashflow diagram.Erwin is 27 years old and he saw a bank offering a time deposit plan with 6% interest. He does not know how often the bank calculates interest but he is interested. If he plans to take the offer and wants a sum of Php 20,000 in 10 years, how much should he start his deposit? 11,000 pesos 10,000 pesos O 12,000 pesosOn the day Michel was born, his grandfather deposited to a trust company a sufficient amount of money so that michel could receive the annual payments of Php 20,000 each for his college tuition, starting wiht his 18th birhtday. Interest at the rate of 12% per annum was to be paid on all amounts of deposit. There was also a provision that the grandson could elect to withdraw no annual payments and receive lump on his 25th birthday. Michel chose this option. How much did his grandfather deposit?
- 2 A man borrowed Php 120,000 and promised to pay annually for 5 years. The payment starts at "X' pesos. The man intends to increase his payments by Php 5,000 at the end of each successive year. If the interest rate is 8% compounded annually, how much will the first payment cases be? If the man decides to pay annually with 8 equal payments with the first payment to be madeafter 4 years, what will be the amount of the annual payment? Construct the cash flow diagram for both cases.Economics Questions Set Question 1: 1. An asphalt road requires no upkeep until the end of 2 years when Php. 60 000.00 will be needed for repairs. After this Php. 90 000.00 will be needed for repairs at the end of each year for the next 5 years, then Php. 120 000.00 at the end of each year for the next 5 years. If money is worth 14% compounded annually, what was the equivalent uniform annual cost for the 12-year period?What effective annual interest rate corresponds to the following situations? nominal interest rate of 5% compounded semi annually nominal interest rate of 6% compounded monthly nominal interest rate of 7% compounded quarterly а. b. c. How much should Engr. Fernandez deposit now, if after 12 years, this will amount to Php 120,000. Interest rate is 12% compounded semiannually?