LESSON 10 PROBLEM SOLVING

An annuity whose payment is the same as the conversion period m.

• General Annuity

• Simple Annuity

• Present Annuity

• Deferred Annuity

An annuity that does not begin until a given time interval has passed.

• General Annuity

• Simple Annuity

• Present Annuity

• Deferred Annuity

Shares in the ownership of the company

• Stocks

• Assets

• Bonds

• Equity

They have the right to claim part of the stock company’s assets and earnings proportional to the number of shares the stockholder own.

• Customers

• Bondholders

• CEO

• Stockholders

Money lent specifically for a business purpose. It may be used to start a business or to have a business expansion

• Assets

• Consumer Loan

• Business Loan

• Market Value

Money lent to an individual for personal or family purpose.

• Assets

• Consumer Loan

• Payments

• Business Loan

Mrs. Alonzo decided to take her family for a vacation. To cover the expenses, she decided to apply for a loan.

What kind of loan is this?

• Assets

• Consumer Loan

• Business Loan

• Market Value

A loan of P300,000 is to be repaid in full after 2years. If the interest rate is 9% per annum. How much should be paid after 2 years?

What is the 300,000 in the problem?

• Present Value

• Future Value

• Regular payment

• Time

A person borrowed P1,200,000 for the purchase of a car. If his monthly payment is P31,000 on a 5-year mortgage, find the total amount of interest.

How many payments does the client have?

• 1 year

• 60 payments

• 5 years

• 12 months

What is 20% of 790,000?

• 70,000

• 632,000

• 90,000

• 158,000