(perpetuities) A man planned of building a house. The cost of construction is Php 550,000, while annual maintenance cost is estimated at Php 10,000 . If the interest rate is 7.23%, what is the capitalized cost of the house?

Q: A civil engineer planning for her retirement places 12% of her salary each year into a…

A: Here we calculate the future worth of his retired fund , so calculation of the following by using…

Q: A man is considering investing P 500,000 to open a semi-automatic washing business in a city of…

A: Given that; In a city of 400,000 inhabitants, a man considers P500,000 investment in an auto wash…

Q: P 2530 is deposited in a bank at 7% interest. What is the value of the money after 25 years,…

A:

Q: 3. Don Magellan borrowed today from Ginoong Magellan P300,000.00 and agreed to repay the loan with 4…

A: Loan Amount = 300,000 Pay in 4 equal Month r = 12% compounded monthly

Q: Topic "Compound & Simple Interest". Write the solution and box the final answer.  The sum of…

A: The accumulated amount using compound interest is calculated as, A=P(1+r)n P is the initial amount…

Q: A bond with a par value of PhP1,121 with a bond rate of 9% is to be redeemed at PhP1,145 at the end…

A: Value of bond = 1211 bond rate = 9% redeemed at 1145 or FV = 1145 time = 7 years

Q: Aerotrain Corporation, manufacturer of aircraft simulators and training equipment for aircraft…

A: If Aerotrain buys the building at 150000 (initial investment), the annual savings will be 25000 $…

Q: A young man has decided to go into business at age accumulate P2, 000, 000 at that age. On his 25th…

A: FV = $2,000,000 r = 9.6% g = 10% n = no. of deposits from 25th to 40th birthday =

Q: A small business earns a baseline profit of $500 a year for 5 years.  In addition, its profits…

A: The objective of the question is to find the cash flow of the business in the 4th year. This can be…

Q: For a given company: (1) Compute the PV of a preferred stock that pays, in perpetuity, an annual…

A: Introduction this numerical question related to.the present value of perpetual bond and stocks.

Q: Given the net cash flow in the table, calculate: a) IRR 15% b) EROR by MIRR method, give ii=() and…

A: Step 1: Calculate IRRList the cash flows:Year 0: -2000Year 1: -1600Year 2: 200Year 3: -1600Year 4:…

Q: If 2021Q4 Interest Income from the Loan Portfolio is $10MM, the EOP Balance of Loans is $600MM, and…

A: Given, Interest income from loan = $10 mm The EOP loan balance = $600 mm Average loan balance = $700…

Q: What amount of money (in Php) invested today at 13.61% interest can provide the following…

A: P =14,785,889   Explanation:   P = A[(1 + r)^n - 1]/r is the formula for the present value of an…

Q: PROBLEM SITUATION: An employee decided to invest in a trust fund which gives an interest rate of 2%…

A: Interest Rate refers to the percentage of a lump sum of money that needs to be paid as cost of…

Q: Profits generated by a Machine Prime Inc. were 100 M for the first year and increased by 10 M each…

A: Given:- Machine Prime Inc generate profit of 100M for first year and increase by 10M each year. Rate…

Q: Given problem: What is the annual rate of interest if 228.92 is earned in 7 months on an investment…

A: Interest rate = ? interest = 228.92 Investment = 17,266.77 Time period = 7 months

Q: A man borrowed Php 120,000 and promised to pay annually for 5 years. The payment starts at "X"…

A:

Q: Problem 1. You want to buy a machine with the present worth of QR 100,000. You were able to finance…

A: Given data in Question Annual rate of return = 19.56%The monthly rate of return =1.5%Time period =…

Q: You are a project manager reporting to the general manager at your organisation. You are aware that…

A: Engineering economics, also known as engineering economy, is a branch of economics that deals with…

Q: What is the future value of P10,000 per year for 10 years invested at 10%? a. P159,374 b.P138,824…

A: An annuity is a fixed amount of money invested at each time period, the time of period could be…

Q: You buy a Php 20,000.00 piece of equipment for nothing down and Php 4,000.00 per year for 6 years.…

A: Php of 20,000 pieces of equipment were bought for nothing down. Php 4000 is bought every year for 6…

Q: 5 1.5% simple growth interest for 'w' ye t, 2% interest will begin for 'x' years, w compounded…

A: *Answer:

Q: 2. Contractor BTT submitted its Progress Billing No. 4 to the Project's Owner. Under the contract as…

A: In Financial economics, Progress billing refers to an accounting technique where the client is…

Q: If you borrow money from Ms. Fernandez at 12% simple interest rate, determine the future value of…

A: Present value P is 20000, interest rate r is 12 and time in months is 15

Q: Help

A: Approach to solving the question:Please see attached photos for detailed solutions. Thank you.…

Q: As an engineer, you plan to put aside 20% of your yearly income. You expect to make Php1 million in…

A: YEAR INCOME SAVINGS ACCUMULATED AMOUNT 1 1000000 200000 220000 2 1010000 202000 244420 2…

Q: Q10) What is the IRR in the following cash flow? Year 0 Cash flow, $ -3,345 1 1,100 2 1,10 A) 12.95%…

A: Internal Rate of Return: IRR is the rate of interest at which the present worth of the cash inflow…

Q: Suppose that the parents of a young child decide to make annual deposits into a savings account,…

A: Let, Annual deposit be A Deposit begins from the 5th Birthday to the 15th birthday. Withdrawal…

Q: Find the value of money (K) which can be withdrawn at the end of the 6th, 8th and 10th years, i…

A: A benefit received from every purchase or quantity of money spent has been characterized as value…

Q: Find the exact interest on PhP 28,700 at 7.3% in 265 days. A. PhP 1.531.10 B. PhP 1,521.10 C. PhP…

A: Amount= PhP 28,700rate of interest=i=7.3%number of days=n=265365

Q: A company borrows Php 200,000 for six years at 8%. At the end of six years, the company renew the…

A: Introduction  An amount of money that is paid at one time : a single sum of money, The bonus is paid…

Q: A machine costs Php 30,000 to purchase. The machine will have a Maintenance cost of Php 2,000 but…

A: The machine cost Php 30,000 incurred in period 1. Maintenance cost of Php 2,000 per period Save Php…

Q: A bond with a par value of PhP1,287 with a bond rate of 8% is to be redeemed at PHP1,494 at the end…

A: Par Value = 1287 Bond Rate = 8% FV  = 1494 n = 7

Q: The value of the interest ratei of the following cash flow is $600 $600 $600 $600 $600 11 1 2 3 i =…

A: The interest rate which makes the present value equal to sum of its future discounted cash flows, is…

Q: How much should Mr. Sy invest on a bank that offers earn Php1,000 each year in 10% interest so that…

A: Annual payment = 1000 Php Interest rate = 10 % Time = Perpetuity

Q: 46. A certain construction company wants to replace an equipment, 5 years from and it will cost PHP…

A: Given information Interest rate=8% compounded quarterly Replacement cost after 5 year=PHP550000000…