35. A man wishes to bequeath to his daughter P20,000 ten years from now. What amount should he invest now if it will earn interest of 8% compounded annually during the first 5 years and 12% quarterly during the next 5 years?
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- A man wishes his son to receive P250,000 ten years from now. What amount should he invest if it will earn an interest of 10% compounded annually during the first 5 years and 12% compounded quarterly during the next 5 years?A friend who owns a perpetuity that promises to pay $1,000 at the end of each year, forever, comes to you and offers to sell you all of the payments to be received after the 25th year for a price of $1,001. At an interest rate of 10%, should you pay the $1,000 today to receive payment numbers 26 and onwards? What does this suggest to you about the value of perpetual payments?Iris expects to receive $1,000 at the end of each of the next three years. She will deposit these payments into an account that pays 10%, compounded semi-annually. What will be the future value of these payments, that is, the value at the end of the third year? a. $3,318.01 b. $1,340.10 c. $1,157.63 d. $1,331.00
- 4. Mr. Thomas will receive $8,500 a year for the next 15 years from her trust. If a 7 percent interest rate is applied, what is the current value of the future payments if first receipt occurs today?A father wishes to bequeath to this daughter 20,000 ten years from now. If he invest an amount earning interest rate of 8% compounded annually during the first five years and 12% compounded semi annually during the next five years,determine: a. what amount should he invest now?8. An amount of P 250,000 is deposited now into a savings account that earns 8% per year. This amount will take care for the yearly allotment of a grandmother until shedies. The first allotment will be one year after the deposit is made. How much can thegrandmother withdraw every year?
- Gyutaro wishes his sister to receive P600,000.00 twelve years from now. What amount should he invest now if it will earn interest of 12% compounded annually during the first 5 years, 15% compound quarterly during the next 5 years P159,311.01 P175,771.31 P163,041.83 P171,698.762. A friend who owns a perpetuity that promises to pay $1,000 at the end of each year,forever, comes to you and offers to sell you all of the payments to be received after the25th year for a price of $1,000. At an interest rate of 10%, should you pay the $1,000today to receive payment numbers 26 and onwards? What does this suggest to youabout the value of perpetual payments?Mae expects to receive $1,000 at the end of each of the next three years. She will deposit these payments into an account which pays 10%, compounded semi-annually. How much will be the future value of these payments, that is, the value at the end of the third year? a. $7,986.00 b. $3,318.01 c. $3,993.00 d. $665.50
- A father wishes to provide his daughter the amount of ₱1M twelve years from now. How much should he invest after two years, if it will earn interest at 8% compounded monthly for the first five years and 12% compounded quarterly in the next five years?An employee wants to retire and receive P 5 000 a month. She wants to pass this monthly payment to future generations after her death. She can earn an interest of 8% compounded annually? How much will she need to set aside to achieve her perpetuity goal?Krissie wishes to bestow her youngest son Bim P200,000 ten years from now. What amount should she invest now if it will earn interest of 6% compounded annually during the first 5 years and 8% compounded quarterly during the next 5 years?