MATH REVIEW

Which of the following CORRECTLY differentiates simple and compound interest?

I. charged on the loan amount only

II. there is comparatively higher returns

III. wealth accumulation will be at a higher rate

IV. principal never changes with increased tenur

• Simple Interest: I & II

  Compound Interest: III & IV

• Simple Interest: IV only

  Compound Interest: I, II, & III

• Simple Interest: I & IV

  Compound Interest: II & III

• Simple Interest: I, III, & IV

  Compound Interest: II only

Which of the following is TRUE about the principal amount of a simple interest?

• Adecreases with increased tenure

• B. depends on the conversion period

• never changes with increased tenure

• D. increases as interests gets added to it

What is the simple interest if the invested amount is ₱250 000 for 8 months at 5%?

• ₱7 500

• ₱8 333

• ₱12 500

• ₱83 750

You paid an interest amounting to ₱1 875 which was made for 9 months at a simple interest rate of 10% per annum. What was the original amount that you borrowed? A. C. B. D.

• ₱25 000

• ₱35 000

• ₱40 500

• ₱50 500

How many years will you pay ₱2 000 that accumulates an interest total of ₱240 with 6% interest rate?

• 4 months

• 1.5 years

• 7 months

• 2 years

What is the amount due after 9 months for a ₱30 000 loan in a 5% interest rate per annum?

• ₱30 625

• ₱31 125

• ₱32, 625

• ₱33,125

What is the maturity value of ₱10 000 at the end of 2 years, if it earns a compound interest at the rate of 4% yearly?

• ₱9 520

• ₱9 800

• ₱10 500

• ₱10 816

What is the future value on a loan of Php 75 000 at 5% for 3 years compounded semiannually? c

• A. ₱84 537

• ₱85 231

• ₱86 977

• ₱87 726

Which of the following statements distinguishes simple and general annuity? Simple and general annuity are distinguished according to ____________.

I. duration

II. time of payment

III. payment interval and interest period.

• I only C. B. D.

• II only

• III only

• I, II and III

In which type of annuity does each of the following transactions belong?

I. ₱2000 monthly regular payment ; 10% interest rate compounded monthly.

II. ₱2500 quarterly regular payment ; 5% interest rate compounded annually.

III. ₱2750 annual regular payment ; 8% interest rate compounded semi-annually. IV. ₱3000 semi-annual regular payment ; 9% interest rate compounded semi-annually

• Simple Annuity: I and II

  General Annuity: II and IV

• Simple Annuity: I and III

  General Annuity: II and IV

• Simple Annuity: I and IV

  General Annuity: II and II

• Simple Annuity: I only

  General Annuity: II, III and IV