Fair Market Value and Deferred Annuity

What is the other term for economic value?

• fair market value

• future value

• general annuity

• present value

The formula is used to determine the __________ of an ordinary annuity.

 $F\ =\ R\ \frac{\left(1+j\right)^n-1}{j}$  

• annuity

• cash flow 

•  future value 

• present value

What is the future value of a semi-annual payments of ₱ 8,000 for 12 years with interest rate of 12% compounded semi-annually?

• ₱ 407,524.60

• ₱ 408,524.60

• ₱ 405,524.60

• ₱ 406,524.60

It is an annuity that does not begin until a given time interval has passed. It is a kind of annuity whose payments (or deposits) starts in more than one period from the present.

• general

• simple

• deferred

• ordinary

What is the period of deferral if semi-annual payments of ₱5,000.00 for 13 years that will start 4 years from now?

• 7

• 8

• 9

• 10

Melwin availed a loan from the bank that gave him an option to pay ₱ 20,000.00 monthly for 2 years. The first payment is due after 4 months. If the interest rate is 10% converted monthly, find the periods in deferral?

• 1

• 2

• 3

• 12