1. CALCULATED THE EXACT INTEREST ON AN INVESTMENT OF P2 000.00
FOR A PERIOD FROM JANUARY 30 TO SEPTEMBER 15, 2001, IF THE RATE
OF INTEREST IS 10%. ₱124.93
P = ₱2,000
n = Jan 30 – Sep 15
January: 31 days
February: 28 days
March: 31 days
April: 30 days
May: 31 days
June: 30 days
July: 31 days
August: 31 days
September: 15 days
n = 1 + 28 + 31 + 30 + 31 + 30 + 31 + 31 + 15 = 228 days
i = 10% = 0.10
I=?
228
I = Pin = ₱2,000 × 10% ×
= ₱𝟏𝟐𝟒. 𝟗𝟑
365
1. WHAT AMOUNT WILL BE AVAILABLE IN EIGHT MONTHS IF P15 000.00 IS
INVESTED NOW AT 10% SIMPLE INTEREST PER YEAR? ₱16 000.00
P = ₱15,000 ; i = 10% ; n = 8mo. ; F = ?
8
F = P ( 1 + in ) = ₱15,000 ( 1 + 10% ×
) = ₱𝟏𝟔, 𝟎𝟎𝟎. 𝟎𝟎
12
2. A DEPOSIT OF P 110,000 WAS MADE FOR 31 DAYS. THE NET INTEREST AFTER
DEDUCTING 20% WITHHOLDING TAX IS P 890.36. FIND THE RATE OF RETURN
ANNUALLY. 11.75%
P = ₱110,000 ; n = 31d
; WT = 20% ; i =? ; Inet = ₱890.36
Inet ₱890.36
Inet = Igross × WT ; I =
=
= ₱1,192
WT
1 − 0.2
I
₱1,192
I = Pin ; i =
=
× 100 = 𝟏𝟏. 𝟕𝟓%
Pn ₱110,000 × 31
365