Financial Math Answers

4. A stock pays an annual dividend of P0.72 per share. Calculate the dividends paid to a shareholder who has 550 shares of the company’s stock. Show a solution.

3. A credit card account had a P244 balance on March 5. A purchase of P152 was made on March 12,

and a payment of P100 was made on March 28. Find the average daily balance if the billing date is April 5.

Show a solution

In Exercises 1 to 2, calculate the finance charge for a credit card that has the given average daily

balance and interest rate. Show your solutions.

1. Average daily balance: P118.72; monthly interest rate: 1.25%

2. Average daily balance: P10,154.87; monthly interest rate: 1.5%

3. A retired couple have a fixed income of P3500 per month. Assuming an annual inflation rate of 7%, what is the purchasing power of their monthly income in 5 years?

1. A P1000 is deposited for 5 years in an account that earns 9% interest.

(a) Calculate the simple interest earned.

(b) Calculate the interest earned if interest is compounded daily.

(c) How much more interest is earned on the account when the interest is compounded daily?

1.     The demand function P=4500-15Q² and the supply function P = 5Q² + 2500. Determine the following:

a)     Consumer surplus.

Producer surplus

 N2Q has an outstanding six year-credit of 3 billion VND with interest rate of 15% and annual interest payment and principal will be paid once at the end of the maturity. Supposed that the interest rate for one-month savings deposit is quoted by 10%, if N2Q wants to save money in order to pay off his debt, how much is the monthly deposit?

What is the immediate value of $7,500 that is due in 10/3

- years if the interest rate is 3.91% compounded monthly?