Financial Math Answers

Sinking fund schedule

A ₱50,000 debt is to be repaid at the end of one year. The debtor establishes a sinking fund that earns 8% interest compounded quarterly. Construct a sinking fund schedule

Construct a depreciation schedule for the following problems

3.) Duncan bakery purchased a new bread oven for ₱125,000. Shipping charges were ₱1500 and installation amounted to₱ 750. The oven is expected to last five years and has a residual value of ₱5000. If Duncan elects to use use the straight line method, calculate the total cost, total depreciation. And annual depreciation of the oven. Prepare a schedule.

Construct a depreciation schedule for the following problems

2.) Donald manufacturing Inc purchased new equipment totaling₱648,000.Freight charges were₱2200 and installation amounted to ₱1800. The equipment is expected to last 4 years and have a residual value of ₱33,000. If the company elects to use the straight line method of depreciation , prepare a depreciation schedule for these assets

Construct a depreciation. Schedule for the following problems.

1.) The Dwight laundry purchased new washing machines and dryers for ₱570,000.Freight charges were ₱47,000 and installation amounted to ₱50,000.The machines are expected to last five years and have a salvage value or scrap value ,₱20,000. If Dwight elects to use the straight-line method of depreciation, prepare a depreciation schedule for these machines .

The amount of money that Gali has to invest at a simple interest rate of 15% per year, to earn R5 250 interest after three years, is

1.     R5 249,48.

2.     R122 500,00.

3.     R11 666,67.

4.     R10 000,00

5.     R3 620,69.

An amount of R4 317,26 was borrowed on 5 May at a simple interest rate of 15% per year. The loan will be worth R4 500 on

1.     16 August.

2.     12 August.

3.     21 August.

4.     9 October.

5.     none of the above.

Bonita invested R40 000 in order to have R56 000 available in 30 months' time. The yearly rate, compounded semi-annually, is

1.     7,21%.

2.     16,00%.

3.     8,00%.

4.     14,41%.

5.     13,92%.

Nina borrowed money on 31 August and agreed to pay back the loan on 2 November of the same year. If the discount rate is 18% per year and she received R5 000 on 31 August, what is the value of the loan that Nina has to pay the bank on 2 November?

1.     R5 155,34

2.     R4 844,66

3.     R5 160,32

4.     R5 000,00

5.     None of the above 

Erol invests R8 350 in an account that pays simple interest. After six years, the amount that he receives back is R12 859. The simple interest rate on the investment, rounded to two decimal places, is

1.     0,75% per year.

2.     45,09% per year.

3.     1,08% per year.

4.     9,00% per year.

5.     none of the above.

An investment of R20 000 accumulated to R45 200. If the applicable simple interest rate is 12% per year, then the time under consideration is

1.     10,50 years.

2.     15,12 years.

3.     7,19 years.

4.     4,65 years.

5.     3,25 years.