CONSUMER MATH

Answer each of the following problems by identifying the given information, required

unknown, formula/s to be used. Compute for the unknown then label your final answer properly.

1. How much must be paid every end of 3 months for 12 years to liquidate an obligation of

44,000, if money is worth 12.5% compounded quarterly?

2. A housewife buys a refrigerator that sells 8,500 cash. She pays 3,000 down payment and

promises to pay the balance in 24 equal monthly payments. What is the size of her monthly

payment, if interest is charged at 14% compounded monthly?

3. A loan of 10,000 is to be discharged with 12 equal monthly payments. What is the monthly

payment, if the interest rate is 12% converted monthly?

4. On January 25, 2000, Gardo invested 500,000 at 13% compounded monthly. The investment is

to be paid out with 85 equal monthly payments with the first payment on February 20, 2000.

What is the size of the monthly payment?

5. Six years from now, a man will need 500,000. How much must he deposit in a fund at the

beginning of each year starting now for 5 years to accumulate the sum if the fund pays 19%

compounded annually?

6. Hugo invests 1,500 every beginning of each three months. He makes his first deposit on May 5,

2001. How much will be in the fund on May 5, 2006 if interest rate is 12% compounded

quarterly?