Malayan Colleges Mindanao

General Mathematics
Performance Check

GENERAL ANNUITY
Instruction: Solve the given situations. Show your solutions (5 points each).
1. Soledad decides to save ₱2,700 at the end of every 6 months, which is the amount
paid into her retirement plan by the company where she works. If she chooses an
investment fund that guarantees 8% per year compounded quarterly, how much
will she have in 10 years?

2. What is the present value of an annuity of P7,300 per semi-annual period for 7
years at an interest rate of 9% compounded annually?

3. Redentor has decided to make semi-annually payments of ₱7,800 at the end of

every three months for 8 years into an investment that he thinks will yield 7%
compounded semi-annually, what lump sump deposited today will result to the
same future value?

4. Find the periodic payment of an annuity payable semi-annually for 12 years, whose
present value is ₱87,200 with interest rate 14% compounded quarterly?

5. GMS Enterprise needs to accumulate ₱650,000 in 2 years to meet future needs.

What regular payment would they need to make at the end of each quarter, at 12%
interest compounded monthly?P32,346.70