Compound Interest Problems

Sachi borrows ₱50,000 and promises to pay the principal and interest at 12% compounded monthly. How much must he repay after 6 years?

Which of the following is the present value?

• ₱50,000

• 12%

• 6 years

• None of these

Sachi borrows ₱50,000 and promises to pay the principal and interest at 12% compounded monthly. How much must he repay after 6 years?

Which of the following is the converted rate in decimal?

• 0.012

• 0.12

• 0.0012

• 12

The other term for maturity date is _________ ____.

The other term for loan date is ______ ____.

Sachi borrows ₱50,000 and promises to pay the principal and interest at 10% compounded monthly. How much must he repay after 6 years?

• ₱90,000.00

• ₱90,879.71

• ₱102,354.97

• ₱50,000.00

Sachi borrows ₱50,000 and promises to pay the principal and interest at 12% compounded quarterly. How much must he repay after 6 years?

Which of the following is equivalent to the term??

• ₱50,000

• 0.12

• 6 years

• Sachi

What is the symbol for frequency of conversions?

• m

• f

• c

• o

What is the frequency of conversions if the given problem is compounded monthly?

• 12

• 365

• 4

• 1

Solve the interest rate per conversion period

Given: 30% compounded monthly

Which of the following is the correct formula in finding the compound interest?