How much money must be deposited today in order to withdraw P500  monthly for 5 years if interest rate is 10% compounded monthly? 2. A man obtained a loan of P50,000 at the rate of 6% compounded annually in  order to repair his house. How much he pay monthly to amortize the loan  within a period of 5 years? 3. What is the accumulated amount of an 8 year annuity paying P2000 with an  interest of 15% compounded quarterly? 4. What is the present worth of a P15,000 annuity starting at the end of the 3rd year and continuing to the end of the 10th year, if the annual interest rate is  8%? 5. What is the present value of a perpetuity that pays P15,000 per month if the  interest rate is 6% compounded semiannually?

Corporate Fin Focused Approach
5th Edition
ISBN:9781285660516
Author:EHRHARDT
Publisher:EHRHARDT
Chapter4: Time Value Of Money
Section: Chapter Questions
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How much money must be deposited today in order to withdraw P500 
monthly for 5 years if interest rate is 10% compounded monthly?
2. A man obtained a loan of P50,000 at the rate of 6% compounded annually in 
order to repair his house. How much he pay monthly to amortize the loan 
within a period of 5 years?
3. What is the accumulated amount of an 8 year annuity paying P2000 with an 
interest of 15% compounded quarterly?
4. What is the present worth of a P15,000 annuity starting at the end of the 3rd
year and continuing to the end of the 10th year, if the annual interest rate is 
8%?
5. What is the present value of a perpetuity that pays P15,000 per month if the 
interest rate is 6% compounded semiannually?

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