2. Ms. Perez wants to invest in a savings account with interest rate of 9% per year. She decided to make annual deposits of PhP 40,000 for 10 years with the first payment being today. Determine the present worth of Ms. Perez's savings account. (5 pts) A. PhP 256,706.31 B. PhP 356, 706.31 C. PhP 279,809.88 D. PhP 289,908.88

2. Ms. Perez wants to invest in a savings account with interest rate of 9% per year. She decided to make annual deposits of PhP 40,000 for 10 years with the first payment being today. Determine the present worth of Ms. Perez's savings account. (5 pts) A. PhP 256,706.31 B. PhP 356, 706.31 C. PhP 279,809.88 D. PhP 289,908.88

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

ChapterA3: Time Value Of Money

Section: Chapter Questions

Problem 5CE

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Refer to the present value table information on the previous page. What amount should Brett have in his bank account today, before withdrawal, if he needs 2,000 each year for 4 years, with the first withdrawal to be made today and each subsequent withdrawal at 1-year intervals? (Brett is to have exactly a zero balance in his bank account after the fourth withdrawal.) a. 2,000 + (2,000 0.926) + (2,000 0. 857) + (2,000 0.794) b. 2,0000.7354 c. (2,000 0.926) + (2,000 0.857) + (2,000 0.794) + (2,000 0.735) d. 2,0000.9264
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