Analyze then solve the following problems. 1. Find the amount of an annuity of P5000 payable...

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Analyze then solve the following problems. 1. Find the amount of an annuity of P5000 payable at the end of each 3 months for 8 years, if money is worth 12% compounded quarterly? 3. If money is worth 7 %2% converted semiannually, what single payment now is equivalent to 10 semiannual payments of P62,500? 2. A man deposited P300,000 in a fund paying 9%, compounded semiannually. How much may be withdrawn at the end of each 6 months for 5 years so that nothing will be left in the fund after the last withdrawal? 4. If money is worth 7% to the buyer of a lot, which is better for him and by how much: to pay P250,000 cash or P60,000 a year for 5 years? Analyze then solve the following problems. 1. Find the amount of an annuity of P5000 payable at the end of each 3 months for 8 years, if money is worth 12% compounded quarterly? 3. If money is worth 7 %2% converted semiannually, what single payment now is equivalent to 10 semiannual payments of P62,500? 2. A man deposited P300,000 in a fund paying 9%, compounded semiannually. How much may be withdrawn at the end of each 6 months for 5 years so that nothing will be left in the fund after the last withdrawal? 4. If money is worth 7% to the buyer of a lot, which is better for him and by how much: to pay P250,000 cash or P60,000 a year for 5 years?

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The image presents four different problems related to annuities and the time value of money I will address each problem one by one 1 Find the amount o... View the full answer