Question

Find the value of the amountPhp 10,000 payable at the end of each 6 months for 5 years if money is invested at 8% compounded semiannually

Answer 1

The future value of the annuity due is:

$FV = 10,000×\frac{((1+0.08/2)^{10}- 1)×(1+0.08/2)}{0.08/2} = 124,863.51.$