1.) Miller likes to invest in annuity that will pay him Php. 5000 at the end of each month for 5 years after his retirement. What is the present value of the annuity if the prevailing interest rate is 12% per year ? 2.) Dory deposits a certain amount of money into her savings account at the beginning of each quarter for the next 4 years. She wants to have Php. 100,000.00 after 4 years. If the interest rate is 8% compounded quarterly, how much does she have to deposit at the beginning of each quarter? Create an amortization table for each questi
1.) Miller likes to invest in annuity that will pay him Php. 5000 at the end of each month for 5 years after his retirement. What is the present value of the annuity if the prevailing interest rate is 12% per year ? 2.) Dory deposits a certain amount of money into her savings account at the beginning of each quarter for the next 4 years. She wants to have Php. 100,000.00 after 4 years. If the interest rate is 8% compounded quarterly, how much does she have to deposit at the beginning of each quarter? Create an amortization table for each questi
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 22P
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1.) Miller likes to invest in annuity that will pay him Php. 5000 at the end of each month for 5 years after his retirement. What is the present value of the annuity if the prevailing interest rate is 12% per year ?
2.) Dory deposits a certain amount of money into her savings account at the beginning of each quarter for the next 4 years. She wants to have Php. 100,000.00 after 4 years. If the interest rate is 8% compounded quarterly, how much does she have to deposit at the beginning of each quarter?
Create an amortization table for each question.
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