DAILY School EULOGIO “AMANG” RODRIGUEZ Grade Level/Section GRADE 11

INSTITUTE OF SCIENCE AND

LESSON
TECHNOLOGY
LOG
Teacher CHRISTINE JOY R. ABAROA Learning Area GENERAL
MATHEMATICS

Teaching Dates & Time FEBRUARY 3, 2024 Semester FIRST SEMESTER

8:30 AM – 9:30 AM

I. OBJECTIVES

A. Content Standards The learner demonstrates understanding of key concepts

B. Performance Standards The learner is able to investigate, analyze, and solve problems involving compound interests.

C. Learning Competencies / Objectives The learners should be able to:

 distinguishes between simple and compound interests. (M11GM-IIa-2)

 computes interest, maturity value, future value, and present value in simple interest and compound interest
environment. (M11GM-IIa-b-1)

 solves problems involving compound interests. (M11GM-IIb-2)

II. CONTENT DIRECT VARIATION

III. LEARNING RESOURCES

A. References

1. General Mathematics Grade 11 Senior High pp. 441 – 450

School Learner’s Material

2. General Mathematics Senior High School pp. 162 - 177

Teacher’s Material

IV. PROCEDURES

A. Recall and Introduction

INTRODUCTION

Joy and Lydia each invest P10,000 for two years, but under different schemes. Joy earns 2% of

P10,000 the first year, which is P200, then another P200 the second year. Lydia earns 2% of P10,000

the first year, which is P200, same as Ella's. But during the second year, she earns 2% of the P10,000

and 2% of the P200 also.

[Joy just earns 2% of P10,000 but Lydia earns 2% of both the P10,000 and the previous interest]

QUESTION:
Why is there a difference between the amount in Joy’s (P10,400) and Lydia's (P10,404) respective accounts after two
years?

EXPLAINATION:
Joy had simple interest while Lydia had compound interest

What is compound interest?

If a principal P (initial amount of money) is invested at an annual rate of r; compounded annually, then the amount after t
years is given by F = P(1+r) ^t.

B. Establishing a purpose for

the lesson  F = P(1 + r)^t where
P = principal or present value

F = maturity (future) value at the end of the term

r = interest rate

t = term / time in years

 The compound interest Ic is given by

Ic = F – P

Many bank savings accounts pay compound interest. In this case, the interest is added to the account

at regular intervals, and the sum becomes the new basis for computing interest. Thus, the interest

earned at a certain time interval is automatically reinvested to yield more interest.

The following table shows the amount at the end of each year if principal P is invested at an annual

interest rate r compounded annually. Computations for the particular example P = P100,000 and r

= 5% are also included

 Observe that the amount at the end of each year is just the amount from the previous year

multiplied by (1 + r). In other words, 1 + r is multiplied each time the year ends. This results in

the following formula for the amount after t years, given an annual interest rate of r:

C. Presenting examples
/Instances of the new EXAMPLE 1.
Lesson Find the maturity value and the compound interest if P10,000 is compounded annually at an interest rate of 2%
in 5 years.

Answer: The future value F is P11,040.81 and the compound interest P1,040.81

[Relate the procedure above to the illustration in finding compound interest under Investment
2 in Lesson 1. INTRODUCTION]
EXAMPLE 2.
Find the maturity value and interest if P50,000 is invested at 5% compounded annually for 8 years.

Answer: The maturity value F is P73,872.77 and the compound interest is P23,872.77.
D. Discussing new concept
and practicing new skills
#1 EXAMPLE 3.
Suppose your father deposited in your bank account P10,000 at an annual interest rate
of 0.5% compounded yearly when you graduate from kindergarten and did not get the amount until
you finish Grade 12. How much will you have in your bank account after 12 years?

Answer: The amount will become P10,616.77 after 12 years.

QUESTION;
Is it advisable to save all your money in an account that earns only 0.5% interest?

The present value or principal of the maturity value F due in t years any rate r can be obtained from
the maturity value formula F = P(1 + r)^t

Solving for the present value P,

E. Developing mastery (Leads
to Formative Assessment)
F. Finding practical
applications of concepts
and skills in daily living
G. Making generalizations and
abstractions about the
lesson.
H. Evaluating learning
Group Activity
Each Group prepare a cartolina and pentel pen.
Find the unknown principal P, rate r, time t, and compound interest Ic by completing
the table.
Reflect on this:
Interest rates are to asset prices what gravity is to the apple. When there are low interest rates, there is a very low
gravitational pull-on asset price.
Ask the students to recite the formula of compound interest.
In a one whole sheet of paper answer the following question.
a) Christian deposited P5,000 in a bank that pays 2% compounded annually.
 Complete the table below.

b) In problem 1, Christian made a withdrawal of P2,000 after two years. If no further withdrawal
is made, how much will be in his account after another 3 years?
Answer: P3,397.99

(c) How much money must be invested to obtain an amount of P30,000 in 4 years if money earns at
8% compounded annually?
Answer: P22,050.90

(d) A businessman invested P100,000 in a fund that pays 10.5% compounded annually for 5 years.
How much was in the fund at the end of the term?
Answer: P164,744.68

(e) What amount must be deposited by a 15-year-old student in a bank that pays 1% compounded
annually so that after 10 years he will have P20,000?
Answer: P18,105.74

I. Additional activities for

application or remediation

V. REMARKS
 VI. REFLECTION

A. No. of learners who earned 80% in the

evaluation

B. No. of learners who require additional

activities for remediation

C. Did the remedial lessons work? No. of

learners who have caught up with the
lesson

D. No. of learners who continue to require

remediation.

E. What difficulties did I encounter which

my principal or supervisor can help
me solve?

F. What innovation or localized materials did

I use/discover which I wish to share with
other teachers?

Prepared by:

Lydia M. Alban

Noted by: