Ordinary Annuity (Finding A and S) [1-(1+i)* Formula: A=R SER -[(4-1-1] (1-(1+i) CP = DP+R 1. To have his own pad, James decided to deposit Php20,000 at the end of each month in a bank paying 7% compounded monthly. How much would he expect to have in three years? 2. A brand new pick-up truck was bought for Php420,000 downpayment and monthly installments of Php15,000 at the end of each month for 4 12 years. What is the cash price of the truck if money is worth 18% compounded monthly? Find the PRESENT VALUE and the AMOUNT of a Php7,500 ordinary annuity payable quarterly for 12 years if money is worth 12.5% compounded quarterly. 14 iS Ordinary Annuity (Finding R) Formula: R=- R= 1-(1+i) (1+i) - 1 1. Edison wants to have Php900,000 in 4 years. He makes semi-annual deposits in a savings account paying interest at 8% compounded semi-annually. Find the semi-annual deposit. 2. A mother wishes to have Php800,000 eight years from today for her son's graduation. How much should she deposit monthly in a bank if it pays interest at 14%, m = 12? 3. A newly married couple bought a house and lot worth Php2.8M. They paid a downpayment of Php300,000 with an agreement to pay the balance in 18 years at 18% compounded quarterly. How much is the quarterly payment? log n = log (1+i) X=S-D D[(4-1)", -1] - (1+i) - 1 X=S-D (1+1) 1. A P28,000 debt at 15% interest compounded semi-annually is to be amortized at P2,250 every 6 months. A final smaller payment is to be made after the last regular payment. How many regular payments are needed? a. b. When will the final smaller payment be due? C. How much is the final payment? 2. A company borrowed P45,200 from a savings and loan association that charges 14% converted quarterly. To pay off the loan, the company promised to pay P2,000 every 3 months. a. When will the company make the last P2,000 payment? b. Find the final irregular payment if it is made 3 months after the last regular payment date. c. Find the final irregular payment if it is made on the day of the last regular payment. 3. A mother deposits P15,500 each quarter in a savings bank paying 12.5% compounded quarterly. If she desires to accumulate P175,000, a). how many full deposits must she make? b). How much will the final deposit be (if any) if it is made 3 months after the last full deposit of P15,500