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 annuity is required over 12 years to equate with a future amount of P 20,000? Assume i= 6% annually ?
(A) P 1,290.34
(B) P 1,185.54
(C) P 1,107.34
(D) P 1,205.74
What is the present worth of a P500 annuity starting at the end of the third year and continuing to the end of the fourth year, if the annual interest rate is 10 % ?
(A) P 727.17
(B) P 717.17
(C) P 714.71
(D) P 731.17
In year zero, you invest P 10,000.00 in a 15% security for 5 years. During that time, the average annual inflation is 6%. How much in terms of year zero pesos will be in the account at maturity ?
(A) P 15,030.03
(B) P 20,113.57
(C) P 18,289.05
(D) P 16,892.34
A firm borrows P2,000 for 6 years at 8%. At the end of 6 years, it renews the loan for the amount due plus P2,000 more for 2 years at 8%. What is the lump sum due ?
(A) P 3,260.34
(B) P 3,280.34
(C) P 3,270.34
(D) P 3,250.34
What is the present worth of two P 100 payments at the end of the third year and fourth year? The annual interest rate is 8%?
(A) P 150.56
(B) P 152.88
(C) P 153.89
(D) P 151.09
The Saudi Arabian Oil Refinery developed an oil well which is estimated to contain 5,000,000 barrels of oil at an initial cost of $ 50,000,000. What is the depletion charge during the year where it produces half million barrels of oil? Use Unit or Factor method in computing depletion?
(A) $ 5,000,000.00
(B) $ 5,010,000.00
(C) $ 5,025,000.00
(D) $ 5,050,000.00
Shell Philippines, a multinational company, has a total gross income for a particular year of P 50,000,000. The taxable income after taking all deductions except for depletion is P 18,500,000. What is the allowable depletion allowance for that particular year? Take percentage of gross income for oil as 22%?
(A) P 9,358.41
(B) P 9,228.45
(C) P 9,250.00
(D) P 9,308.45
An asset is purchased for P 9,000.00. Its estimated economic life is 10 years after which it will be sold for P 1,000.00. Find the depreciation in the first three years using sum-of-years digit method____________________?
(A) P 3,279.27
(B) P 3,927.27
(C) P 3,729.27
(D) P 3,792.72
ABC Corporation makes it a policy that for any new equipment purchased, the annual depreciation cost should not exceed 20% of the first cost at any time with no salvage value. Determine the length of service life necessary if the depreciation used is the SYD method ?
(A) 7 eyars
(B) 8 years
(C) 9 years
(D) 10 years