Mathematics of Finance

What is the science and art of managing money?

_ is the fee or rent that lenders charge to borrowers for the temporary use of the borrowed money.

Uses 30 days in every month.

• Actual Time

• Approximate Time

• Ordinary Time

• Exact Time

Uses the exact number of days in every specific month

• Actual Time

• Approximate Time

• Ordinary Time

• Exact Time

_ interest is computed in a 365 days in a year as the time factor denominator.

In the formula I = F-P, F stands for what?

• Conversion Number

• Interest Amount

• Maturity value

• Principal Amount

What is the number of compounding that take place in a year?

The amount borrowed to purchase a home and other real estate property are called _.

What is the peso amount that is paid for the credit (in credit card)?

If you deposit 4,000 into an account paying 6% annual interest compounded quarterly, how much money will be in the account after 5 years? (Rounded-off to the nearest hundredths)