What rate of interest compounded annually is the same as the rate of interest of 8% compounded quarterly ?

Related Mcqs:

1. A factory operator bought a diesel generator set for P 10,000.00 and agreed to pay the dealer uniform sum at the end of each year for 5 years at 8% interest compounded annually, that the final payment will cancel the debt for principal and interest. What is the annual payment ?

   A. P 2,500.57
   B. P 2,544.45
   C. P 2,540.56
   D. P 2,504.57

2. A person buys a piece of lot for P 100,000 downpayment and 10 deferred semi-annual payments of P 8,000 each, starting three years from now. What is the present value of the investment if the rate of interest is 12% compounded semi-annually ?

   A. P 142,999.08
   B. P 143,104.89
   C. P 142,189.67
   D. P 143,999.08

3. By the condition of a will, the sum of P20,000 is left to a girl to be held in trust fund by her guardian until it amounts to P50,000. When will the girl receive the money if fund invested at 8% compounded quarterly ?

   A. 11.23 years
   B. 11.46 years
   C. 11.57 years
   D. 11.87 years

4. Mandarin Bank advertises 9.5% account that yields 9.84% annually. Find how often the interest is compounded ?

   A. Monthly
   B. Bimonthly
   C. Quarterly
   D. Annually

5. What is the present worth of a year annuity paying P 3,000.00 at the end of each year, with interest at 8% compounded annually ?

   A. P 7,654.04
   B. P 7,731.29
   C. P 7,420.89
   D. P 7,590.12

6. A man loans P 187,400 from a bank with interest at 5% compounded annually. He agrees to pay his obligations by paying 8 equal annual payments, the first being due at the end of 10 years. Find the annual payments ?

   A. P 43,600.10
   B. P 43,489.47
   C. P 43,263.91
   D. P 43,763.20

7. Engr. Trinidad loans from a loan firm an amount of P100,000 with a rate of simple interest of 20% but the interest was deducted from the loan at the time the money was borrowed. If at the end of one year, she has to pay the full amount of P100,000, what is the actual rate of interest ?

   A. 23.5 %
   B. 24.7 %
   C. 25.0 %
   D. 25.8 %

8. How long will it take money to double itself if invested at 5% compounded annually ?

   A. 13.7 years
   B. 14.7 years
   C. 14.2 years
   D. 15.3 years

9. A man invested P110,000 for 31 days. The net interest after deducting 20% withholding tax is P890.36. Find the rate of return annually?

   A. 11.50 %
   B. 11.75 %
   C. 11.95 %
   D. 12.32 %

10. An amount of P1,000 becomes P1,608.44 after 4 years compounded bimonthly. Find the nominal interest?

    A. 11.89 %
    B. 12.00 %
    C. 12.08 %
    D. 12.32 %