A. Return of investment
B. Interest rate
C. Yield
D. Rate of return
Related Mcqs:
- 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 - What is defined as the investment of loan or principal which is based not only on the original amount of the loan or principal but the amount of loaned or principal plus the previous accumulated interest ?
A. Effective rate of interest
B. Nominal rate of interest
C. Compound interest
D. Simple interest - What refers to the cost of borrowing money or the amount earned by a unit principal per unit time ?
A. Yield rate
B. Rate of return
C. Rate of interest
D. Economic return - What is defined as the interest on a load or principal that is based only on the original amount of the loan or principal ?
A. Effective rate of interest
B. Nominal rate of interest
C. Compound interest
D. Simple interest - Mr. Jun Ramos was granted a loan of P20,000 by his employer Excel First Review and Training Center, Inc. with an interest of 6% for 180 days on the principal collected in advance. The corporation would accept a promissory note for P20,000 non-interest for 180 days. If discounted at once, find the proceeds of the note?
A. P18,000
B. P18,900
C. P19,000
D. P19,100 - A sum of P1,000 is invested now and left for eight years, at which time the principal is withdrawn. The interest has accrued is left for another eight years. If the effective annual interest rate is 5%, what will be the withdrawal amount at the end of the 16th year ?
A. P693.12
B. P700.12
C. P702.15
D. P705.42 - A investor wishes to earn 7% on his capital after payment of taxes. If the income from an available investment will be taxed at an average rate of 42%, what minimum rate of return, before payment of taxes, must the investment offer to be justified ?
A. 12.07 %
B. 12.34 %
C. 12.67 %
D. 12.87 % - What refers to the interest rate at which the present work of the cash flow on a project is zero of the interest earned by an investment ?
A. Economic return
B. Yield
C. Rate of return
D. Return of investment - 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 % - The true value of interest rate computed by equations for compound interest for a 1 year period is known as __________________?
A. Expected return
B. Nominal interest
C. Effective interest
D. Economic return
