A student will receive P3,000 at the beginning of each 3 months for 4 years. What is the sum of this annuity at the end of the 4th year if the interest rate is 6% compounded quarterly?
Ans. 54,604.07
P=C∗1−1(1+r)nr=3,000∗1−1(1+0.06)120.06=P=C*{1-{1 \over (1+r)^n}\over r}=3,000*{1-{1 \over (1+0.06)^12}\over 0.06}=P=C∗r1−(1+r)n1=3,000∗0.061−(1+0.06)121= 25,151.53
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