BMAT2-X

Module 1 In-class Problems

1. Find the remaining quantities.

P r/year t Is F
17.4% 2 years Php522
Php9,600 0.115 2 ¾ years
12 3/4% Php948.28 Php9,448.28

2. On February 10, 2010, Gigi borrowed Php6,500 and promised to pay the principal and 12 ¼%
simple interest on October 15, 2010. How much did she repay on October 15, 2010? Use
Banker’s Rule.
3. How long will it take Php4,000 to grow to Php14,000 if the simple interest is 12.5%?
4. Find the principal amounting to Php16,856.10 in 2 years at 0.108 simple interest rate.
5. Accumulate Php65,000 for 20 months at a simple interest rate of 12%.
6. At what simple interest rate will Php5,800 increase to Php20,000 in 10 years?
7. Find the present value of Php89,000 due in 5 years if money’s worth is 12% simple interest.
8. What sum would accumulate to Php63,750 in 10 years at 11 ¼% simple interest?
9. Ging can buy an appliance now for Php7,200, but probably for Php7,800 one year later. Would
she save if she places Php7,200 in a time deposit (at 12% per annum) for a year and buys the
appliance next year?
10. Find the discount interest if F = Php5,000, d = 0.09 and t = 9 months.
11. Discount (or find the present value of) Php6,000 for 150 days at a discount interest rate of 8%.
12. Find the discount interest rate if Php7,200 is the present value of Php8,000 due in 15 months.
13. Find the amount due at the end of 7 months on a present value of Php3,790 at (a) 9% simple
interest; (b) 9% discount interest.
14. Find the term of a loan whose proceeds and maturity value are Php15,000 and Php16,500,
respectively, at a discount interest rate of 8%.
15. Find the discount interest on Php35,700 for 90 days at a discount interest rate of 9 ¾%. What
is the present value?
16. Find the discount interest rate if Php6,250 is the present value of Php7,000 due in 14 months.
17. Find the amount due on October 4, 2010 if the value on January 25, 2010 is Php42,000 at 9%
discount rate.
18. What discount interest rate is equivalent to 15% simple interest rate in discounting an amount
for 1 year?
19. A simple interest note for 120 days at 13.8% per annum has a maturity value of Php57,530.
What is the face value?
20. Cisco Ray signed a Php28,000 bank discount note on April 16, 2010. If the note was for 10
months at 18% per annum, find (a) the maturity date; (b) the interest deducted in advance;
and (c) the proceeds.
21. Determine the interest and maturity value of a simple interest note signed on October 29,
2010, and due on February 11, 2011. The note has a face value of Php10,000 and an interest
rate of 16.5% per annum.

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22. Ted Mars signed a Php10,000 bank discount note. If the proceeds were Php8,750 and the term
was 10 months, at what rate was interest charged in advance?
23. Obtain the interest and maturity value of a simple interest note with a face value of
Php40,000, an interest rate of 13.8%, and a term of 9 months.
24. Find the proceeds of the following bank discount notes:
Maturity Value Maturity Date Date of Discount Interest Rate
(in advance)
Php30,000.00 Nov 25, 2009 Jul 3, 2009 10.20%
Php23,000.00 May 16, 2010 Dec 15, 2009 12.00%

25. Find the proceeds of the following simple interest notes:

Face Value Interest Rate Origin Date Term Date of Interest Rate
Discount (in advance)
Php7,500 9.5% Feb 10, 2009 45 days Mar 5, 2009 7%
Php20,000 12.5% Jan 30, 2010 3 months Mar 10, 2010 13.2%

26. Lino Monte has a Php28,000 note, at 12% simple interest, good for 150 days. It was drawn by
Sunshine Services on March 16, 2010. If interest charged in advance is 14%, how much will he
receive if the note is encashed at a bank on June 29, 2010?
27. Caloy receives a 60-day, Php62,000 bank discount note on September 4, 2010. How much will
be received if it is discounted at 9% 15 days later?

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