If the accumulated amount is P7500 at 9% compounded monthly. Calculate the principal amount after 2 yrs.

Q: If money is worth 5% compounded semi-annually, find the present value of a sequence of 12…

A: Present value of sequence is value today considering the interest rate and the period of annuity and…

Q: Find the amount at the end of 5 years if Php17,535 is invested at 2.45% compounded quarterly.

A: Future Value refers to the value of the current asset or investment or of cash flows at a specified…

Q: The principal amount is P7000 at 6% compounded bi-monthly. Compute for the interest after 9 years.

A: Total interest rate for 9 years= (1+r/n)t*n -1 Where, r = rate of interest = 0.06 n = number of…

Q: you invest $12000 at an annual rate of 3% . Find the balance after 5 years for each type of…

A: The future value of the cash flow is the future worth of a cash flow at a certain rate of interest…

Q: Determine the present value of an Annuity Php 1,000.00 for 25 quarterly installment that will start…

A: The present value of the annuity is the current worth of a cash flow series at a certain rate of…

Q: What is the accumulated amount of five-year annuity paying P6,000 at the end of each year, with…

A: The worth of a present asset in the future based on a projected growth rate is referred to as future…

Q: Compute the present value of $199,500 that is invested for 6 years and 9 months at 2.45% compounded…

A: The present value is the value of the sum received at time 0. It is the current value of the sum…

Q: Suppose that $80,000 is invested at 7% interest. Find the amount money in the account after 5 years…

A: The given problem can be solved using FV function in excel. FV function computes amount value in…

Q: $10,000 is borrowed at 10% a year interest for five years. At the end of each year, the borrower…

A: Hence, payment made for year 1 is $3,000, year 2 is $2,400, year 3 is $1,920, year 4 is $1,536 and…

Q: a) $15,000 is invested in an account at time 0. At the end of 4 years, an additional $15,000 is…

A: Investment at time 0 15000 investment at the end of 4 years 15000 Rate of Interest for 10 years…

Q: If money is worth 8% compounded quarterly, compute the present value of the perpetuity of ₱1,000…

A: Perpetuity is the stream of cash flows or payments that are made at equal intervals that do not have…

Q: if the money is worth 6% compounded semi-annually, find the present value and the amount of annuity…

A: Annuity refers to series of equalized payments that either made at start or end of specific interval…

Q: Whatis the future sum of 1,900, given that it will be held in the bank for 25 years and earn 17…

A: The future value function or concept can be used to determine the future value of a present sum or…

Q: Find the present value that must be deposited now to amount to Php 24,500 in five years at  8%…

A: The current value of a sum of money is its present worth at some point in the future. Its current…

Q: If the money invested will earned P200,000 after 10yrs at 16% compounded annually, what is the…

A: Let the principle Amount be X   It can be calculated by following formula FV = PV* (1 + r / n)nt…

Q: What is the final amount of $2696 payable every three months for 5 years and 9 months, if money is…

A: Here, Quarterly Payment is P2696 Time Period is 5 years and 9 months Time Period in Quarters  (n)…

Q: Determine Mark's present worth of an annual payment of P2, 500 at the end of each year for 12 years…

A:

Q: Assume that 1500 Php is deposited in an account in which interest is compounded annually at a rate…

A: Deposit amount = 1500 Php Interest rate = 6% Period = 5 Years Compounding = Annually

Q: What will the deposited amount be at the end of 5 years if P15,000 is deposited in an account…

A: Information Provided: Term = 5 years Rate = 4% compounded quarterly Principal = 15,000

Q: Determine the present value on July 7 of Php 6 800 paid at the end of each subsequent calendar…

A: Compound interest accrues at a rate determined by the regularity of compounding, with the greater…

Q: Same as $35,245 to be accumulated in 6 years; quarterly payments of $1300 ..... The interest rate…

A: Given information : Amount to be accumulated  $35,245 Time period (years) 6 Quarterly…

Q: Find the nominal rate which when compounded semiannually and applied to a P50,000 principal will…

A: Let us note the given.Principal P = 50,000Interest I = 5000Amount A = P+I = 50,000 + 5000 =…

Q: A debt of P10,000 with 10% interest compounded semi-annually is to be amortized by semi-annual…

A: The amount can be calculated with the help of present value of annuity function.

Q: How much must be deposited at the end of each month for six year to accumulate $3250.00 at 5%…

A: Using excel PMT function

Q: Find the amount at the end of 2 years if $1,000 was invested at 5% simple interest; 5% compounded…

A: The term time value of money refers to the value of the money in the future of which the investment…

Q: If money is worth 8% compounded quarterly, compute the present value of the perpetuity of Php1,000…

A: Given information: Annual payment of Php 1,000 payable quarterly Interest rate is 8%

Q: A sum of $1,000 is deposited at 8% interest, compounded annually for 5 years. What is the future…

A: In this question we require to compute the future value of investment from the details given.

Q: Php60000 was deposited annually at an interest of 24% compounded quarterly. About how many years…

A: Annual deposit (P) = Php 60000 Interest rate (APR) = 24% Number of compounding per year (m) = 4…

Q: Find the future value of the indicated principal 35000 at 6% compounded semi annually for 12 years

A: Future value (FV) is the value of a current asset at a future date based on an assumed rate of…

Q: Find the compound amount if P5,000 is invested at 10% compounded semi-annually for 2 years.

A: Compund Amount = PV * (1 + r/n)^ntWhere PV = Present Value  = P5,000r = rate of interest = 10%n=…

Q: If money is invested at 12% compounded semiannually, find the present value of P3,000 due at the end…

A: Cash Flow at the time of maturity  P3,000.00 Table value are based on   n = 3.5 Year * 2 7 i =…

Q: If money is worth 3.75% compounded quarterly, find the present value and the amount of an annuity…

A: Compounding is a way to find the PV of future amount or series of payments. This is also applies for…

Q: If P5,000.00 shall accumulate for 10 years at 8% compounded quarterly, find the compounded interest…

A: We need to use compound interest formula given below A=P(1+i)n where A= Final payment P=principal…

Q: If $6000 is invested in an account that pays 3% annual compounded interest, compare the amount in…

A: 1. Semi annual: Future value = Present value *(1+rate)^periods Future value =…

Q: If P8,000 shall accumulate for 10 years at 12% compounded quarterly. Find the compound interest at…

A: Investment amount (P) = P 8000 Interest rate  = 12% Quarterly interest rate (r) = 12%/4 = 3% Period…

Q: A nominal interest of 3% compounded continuously is given on the account. What is the accumulated…

A: In Continuous compounding, compounding is done an infinite number of times.

Q: Calculate the future sum of $1,000, given that it will be held in the bank for 5 years earning an…

A: Future value is the value of the current assets or some amount that is invested today and amount…

Q: (a) at a rate of 3% p.a. effective, for 20 years. Compute the present value of an annuity due that…

A: As per Bartleby Honor Code, when multiple independent questions are asked, the expert is required…

Q: If 5,000 shall accumulate for 10 years at 8% compounded quarterly, then what is the compound…

A: Given: Present value = 5000 Number of years = 10 The interest rate is: i'=in4=i44=0.084=0.02

Q: WSS Financial is paying 9% interest compounded monthly. Find the future value of P60,000 deposited…

A: Given, The quarterly payments P60,000 Number of years is 4. Rate of interest is 9% compounded…

Q: What is the compound amount of Php 10,000.00 for 3 years at 10% compounded semiannually?

A: Initial amount (P) = Php 10000 n = 3 years = 6 semiannual periods r = 10% per annum = 5%…

Q: If P 1,000 is saved for a year at a rate of 10% interest compounded quarterly, calculate the…

A: The interest on a mortgage or bank that is calculated based on both the initial principle and the…

Q: $1,000 is invested for 5 years in an account earning 8% annual interest, compounded semiannually.…

A: Details given are : Present value of investment = $1000 Interest rate = 8% p.a. Time period = 5…

Q: What will be the amount of the sum Rs 1200 for one and half year at 40 percent of interest…

A: Future Value refers to the value of the current asset or investment or of cash flows at a specified…

Q: Find the accumulated value of ₱ 5,000.00 in 3 ¼ years if it is invested at 15% compounded…

A: Accumulated value = P*(1+r/m)t*m Where P - Present value = P5,000.00 r - Interest rate = 15% m -…

Q: What is the accumulated amount of a 9-year annuity paying P 1,075at the end of each year, with…

A: Using Excel FV function

Q: At 5% annual interest, what is the difference in the present and future value of P100 paid at the…

A: Annual Interest rate is 5% Annunity per year is P100 Time period is 10 years Annunity type :-…

Loanable Funds Theory

The loanable funds theory is a neoclassical theory that determines the interest rate where the demand for loanable investments and supply of loanable funds intersect. To determine the interest rate, this theory employs linear regression and a demand curve. At the equilibrium point, demand for borrowings and demand for the issuance of borrowing funds are inextricably linked. This point of equilibrium should equalize demand and the supply of money available for borrowing.