👤
Answered

Practiee Activity 1
Payment of 500.00 is made at each year for 10 years. Interest has a
nominal rate of 8% convertible quarterly. Find the present and the future
value.​

Sagot :

Deleonricaarago

Answer:

₱900.00

Step-by-step explanation:

A = ₱900.00

I = A - P = ₱400.00

Equation:

A = P(1 + rt)

Calculation:

First, converting R percent to r a decimal

r = R/100 = 8%/100 = 0.08 per year.

Solving our equation:

A = 500(1 + (0.08 × 10)) = 900

A = ₱900.00

The total amount accrued, principal plus interest, from simple interest on a principal of ₱900.00 at a rate of 8% per year for 10 years is ₱900.00.

Go Training: Other Questions