Interest Rates

Interest payments that are based on the original principal and previous interest recognized.

• Present value

• Future value

• Simple interest

• Compound interest

You invest P5,000 today at an interest rate of 10% for four years. How much is the maturity value?

• P 6,500

• P 7,000

• P 3,415

• P 7,320

You deposit PHP1,000 in your bank account. If the bank pays 4% simple interest, how much interest will you accumulate in your account after 10 years?

• P 480.24

• P 410.00

• P 400.00

• P 476.15

You deposit PHP1,000 in your bank account. If the bank pays 4% compounded interest, how much interest will you accumulate in your account after 10 years?

• P 480.24

• P 410.00

• P 400.00

• P 476.15

Jannah deposits Php 1,500.00 in her bank account. How much interest will she accumulate in her account after 4 years if the bank pays 3% compound interest annually?

• P 1,608.26

• P 1,688.26

• P 1,866.26

• P 1,800.26