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What do you call this formula , "I=Prt"?
A. Simple Discount
B. Simple Interest
C. Compound Interest
D. Annuity
B. Simple Interest
What do you call this formula, "F=P(1-i)n "
A. Future Value of Ordinary Annuity
B. Accumulated Value of Simple Interest
C. Maturity Value of Compound Interest
D. Future Value of Discount Loans
C. Maturity Value of Compound Interest
Which of the following is the equivalent of "compounded quarterly"
A. every 3 months
B. every 4 months
C. every 6 months
D. every 2 months
A. every 3 months
In ordinary annuity, the interest rate per period is denoted by the symbol ...
A. j
B. r
C. i
D. n
C. i
In any types of financial investments, m denotes what?
A. The total number of conversions per period
B. The total number of conversions
C. The total number of conversions per year
D. The total number of year per conversions
C. The total number of conversions per year
In the formula I=Prt, what does P mean?
A. Principal Amount
B. Principle Amount
C. Price
D. Percentage
A. Principal Amount
Compounded monthly is equivalent to what?
A. 6
B. 1
C. 4
D. 12
D. 12
In the formula I=Prt, what does r mean?
A. Effective rate
B. Nominal rate
C. Interest rate
D. Percentage rate
C. Interest rate
The total number of conversion periods is denoted by the symbol....?
A. n
B. m
C. i
D. j
A. n
What is the formula in finding the n to complete the given values to be substituted in a certain formula?
A. n=j/m
B. n=m/j
C. n=jm
D. n=tm
D. n=tm
It is a sequence of equal payments made at equal periods or time intervals.
Annuity
What is the formula in finding the Present Value of Annuity Due?
A. PV= πΉ[(((π+π)nβ1)/π)(π+π)]
B. PV=πΉ[((1-(π+π)-n)/π)(π+π)]
C. PV=πΉ[((π+π)nβ1)/π)
D. PV=πΉ[(1-(π+π)-n)/π)
B. PV=πΉ[((1-(π+π)-n)/π)(π+π)]
It is an annuity in which the payment interval is the same as the interest period.
Simple Annuity
It is an annuity in which the payments are made at the beginning of each payment interval.
Annuity Due
It is an ordinary annuity in which the first payment is made at some later date.
Deferred Annuity
It is an annuity in which the payments are made at the end of each payment interval.
Ordinary Annuity
It is a type of annuity in which the payment intervals are not the same as the interest period.
General Annuity
"A four-year lease agreement between Alfred and Thrifty Mall Inc. (TMI) indicates that, Alfred pays TMI Php 100,000 at the end of every year if the agreed interest rate is 5% compounded quarterly."
It is an example problem of which type of annuity?
General Annuity
"A student invests Php 500 every 6 months at 4% compounded semi-annually. Find his savings in 12 years."
It is an example problem of which type of annuity?
Ordinary Annuity
The "PVad" denotes __________?
Present value of Annuity due
What is the formula in finding the value of n in the accumulated value of ordinary annuity.
π =log[PVi/Pmt + 1] / log[1+π]
A student invests Php 500 every 6 months at 4% compounded semi-annually. Find his savings in 12 years.
Php 15,210.9312
Joshua wants to visit Japan 3 years from now. He will be needing a sum of P100,000 for his trip. How much must he put aside in his travel funds at the every year starting now if money is worth 6% compounded annually?
P 29,633. 0012
What is the formula in finding the accumulated value of ordinary annuity?
Fvod= A[((π + π)n β π)/i]
A father wants to invest Php 1.5M in a financial institution that gives 8% compounded quarterly so that he could give a quarterly allowance for his daughter for the next 10 years. How much will the quarterly allowance be?
Php 54,833.6217