ERIO, RICARDO 11-STEM B GENMATH-WORKSHEET

SOLVE FOR THE PRESENT VALUE OF SIMPLE ANNUITY:

1.) Suppose Mrs. Remoto would like to know the present value of her monthly deposit of P3,000 when
interest is 9% compounded monthly. How much is the present value of her savings at the end of 6
months?

2.) What is the Present Value of quarterly payments of ₱ 2,000.00 for 5 years with interest rate of 8%
compounded quarterly?

3.) What is the Present Value of semi-annual payments of ₱ 8,000.00 for 12 years with interest rate of
12% compounded semi-annually?

4.) Rose works very hard because she wants to have enough money in her retirement account when she
reaches to age 60. She wants to withdraw P36,000.00 every 3 months for 20 years starting 3 months
after she retires. How much must Rose deposit at retirement at 12% per year compounded quarterly for
the annuity?

5.) Mr. Ribaya paid P200,000 as down payment for a car. The remaining amount is to be settled by
paying P16,200 at the end of each month for 5 years. If interest is 10.5% compounded monthly, what is
the Present value?

6.) Suppose Mrs. Delizo would like to buy a television set payable monthly for 6
ANSWER KEY:

1.) P17,536.79

2.) P32,702.87

3.) P100,402.90

4.) P1,087,227.48

5.) P753,702.20

6.) P17,536.79