ay a maT . BAY 4 - MATH 1. The amount of P10,000 is borrowed at 30% per annum simple interest, How ‘much will be due at the end of 130 days ? A. PI B30 B. P11,028 ©. Pitas. D. P1tosa 2. How much interests are you going to pay after 45 days if you borrowed 50,000 in a lending investor with an interest rate of 5% per month) A. P3770, C. P3570 8. P3075, DB. P3760 3. How much should you put into a 10% savings account in order to have 100,000 in five years ? A, P62,082.20 8. 62,902.20 o. P112,598.60, . Pa5.€36.98 4. A company invests 200,000 today to be repaid in five years in one lump Sum al 18% compcunded annually. How much profit in present day pesos is realized over 5 years ? A. P257 854 ©. 247,896 5. 227.684 DL PAS7'SSt 5. A firm borrows P5000 for § years at 16%. Al the ond of S years, it renews the loan for an amount due plus P2000 more for 2 years al 16%. What is the lump sum due ? A, PAT.822 B. P17,383 c. P16,282 5. Pige22 6. What is the present worth of two P1000 payments at the end of third year and fifth year? The annuel interest rate is 8%, A, Pra C. PIaed B. PLATA ©. pr2ed 7. A sinking fund consists of 15 annual deposits of 1,000 each, with interest ‘earned at the rate of 4% compounded annually, What is the principat in the fund at its terminal date ? A. P25,115.15) 8. P28,105.25 c. P29,586.37 B. P20,023.59 ‘You borrowed the amount of P10,000 in a bank with an interest cate of 30% ‘compounded monthly. How much would you have to pay after 2 years ? A, P16,087 ¢. P17,987 8. P17 032 D. PI7.825 9. 10. 1 4 baa a An initial savings deposit of 200,000 in a certain bank earns 60% Inte Per annum compounded monthly, if the eamnings trom the deposit a subject lo 10% fax, what would be the net value of the deposit alter one year? A B389,171 ©. PIs9.i74 5B. P3453 254 D. F326 /896 A Dank is advertising 10% accounts that ylslds 10.47% annually. How often is the interest compounded A quarterly ©. daity 8. semi-annuely D. monthly A man borroned the amount of P20,000 with an interest of 30%. How much Interest is he going to pay at the end of 22 months ? A. 32,383 ©, P31,533 B P1238 D. P32,296 'FP700 is invested at the end of each year for 10 years, at an annual interest rato of 8%, what Is the fotal peso amount available upon tha deposit of the tenth payment ? A P4,700 & Pipo1s ©. P10.410 ©. Pio140 How much monay must you invest today in order to withdraw P5000 per year for 10 years ifthe intarest rate is'14% ? A. P26,008 6. 26,081 B P2588 5. 26,800 AA series of year end payments extending aver ten years are as follows P5000 for the first year. P10,000 for the second year, and P20,000 for each year from the third to the tenth. Find the equivalent annual wosth of these Payments ifthe annual interest is 8% AL P16 634 B. 16,386 ©. P16. ©. P16, 568 What uniform annual amount should be deposited each year in order to accumulate F1M at the end of the 10th annual deposit if manay earns 10% intorest ? A 62,735 B. P67.045 ©. 54,534 0. P69,078 A.company needs P50,000 in five years fo buy a new equipment. In order to accumulate this sum, a sinking fund consisting of three annual payments is ‘established now. For tax purposes, no further payments will be rade after three years. What payments are necessary if money is worth 18% pet ‘A, P12,620 ©. P12,220 D. Piz's0217. Nou obtain a joan of P1.8M at the rate of 18% compounded annually in order {o build & house. The payment is mado at the fist day of the month. How much must your pay monthly to amortize the loan within a period of ten years? ‘A 25,752 ©. P2573 B. P25 /400 ©. 25,501 18. A machine cost P120,000 with an estimated life of ton years. tte salvage value alter ten years is estimated to be P25,000. Determine the: depreciation rate if the interest cate is 10% A, 8.98%. C. 4.82% 8 5.52% 0. 497 19. An asset is purchased for 150,000, ts estimated life is 10 years, after whieh i willbe sold for P20,000. Find the deprectatian for the second year using the sum-of-the-years digit method. A P2t273 ©. P21729 & P20,732 D. P21.836, 20, The hire of any person to do whatever work he is skilled in doing, A. Promotion cost ©. salary cost 8. Material cost D. labor cost 21, Compute tho no, of blocks than an ice plant must he abla to sell per year to break even based on the following dala Gost of electrisity per block. 20.00 ‘Tax to ba paid por block P2.50 Real Estate tae 48,000 per yr Salaries and Wages 30,000 per month Other 15.000 per month Unit price P30 per block A BID c. rez 5. 1378 ©. 6817 The bank oifers 0.75% effective monthly interest. What is the effective annual rate? A 3.89) B 061% ©. 8.99% D. 9.38% Asseis thal cannot de converted into cast within the accounting period, such 88 land, buildings, machinery, and equipment that ara to be used in business operations: A, fixed assets 8 current assets ©. used assets D. inlangible assets 24 Payment of goods or eorvieos before they are received ‘A. current payment . fixed payment 8. prepaid expense ©: late paymant 32, 33 34 “bay wat Payment of services or goods betora they are rendered. A. advance payment B. currant payment Cash and goods that can be readily converted into cash A. fixed assets C. intangible assets B. equity D. current assats Assets that lack physical substance but consist of valuabla tights, priviloges, oF advantages; examples are patenis, franchises, organizational expense and gaodwil A curvent assets . intangible assets B. fixed assets B. gross assets Exclusive privilege to use a certain process in manufacturing: ‘A. patent ©. franchise 8. good B. expanse Permit granted to a business to hancle a given product of to operate within a giver territory of along a certain route: A. patent B. franchise ©. goodmtt D. expense Factor in business which causes a company to earn a higher than normal Fate of return due to managaroal ski, popular acceptance of the products or ‘some othar favorable circumstances A, patent C. goodwill 8. cleanness © cleamess Certain costs such as the initial Incorporation fee and the cost of legal Senvices in connection with the formation of the corporation: ‘A. material expense ©. labor cost B. equity cost D. organizational expense Funds in cash or security form held for income producing purpose: A. investments C. expense B. assets D. peso Accumulated net eamings of a corporation, also called reinvested eamings: A. tetained eamings. . fixed deposit B. net income gross income Not losses in excess of retained eamings which are deductions in the owners equity A. deficit 5. gal ©. debts D: gross margin40, 43 AY 4 MATH Cost of gods available for sale during the fiscal period minus tha inventory Gf finished goods available at the end af fiscal period: ‘A. cost of goods sold ©. fabilties B. material cost . organizational cost Difference between the nel revenues realized from the sale of goods and their cost AL net capital ©. gross margin B. expense: D. accounts Not income divided by total capital ARO ©. ROR B. interest 1D. asset rate Rate of return on total assets divided by rate of return on sales’ ‘A. income turnover ©. asset turnover B. expenses rate D. rate of come General ability of a company to mest its short term indebtedness: ‘A, rale of return C. acid tast ratio BB. current asset turnover D. current ratio ‘A more vigorous measurement of the company's ability t service short term debt: ‘A, cuurent ratio BL gioss margin ratio ©. rate of return D. acid test ratio \ccounting book in which are recorded the credits and debits of eommerc transactions: A, ledger B. balance ©. journal clerks book Aditionat cost to produce one maze unit of product A marginal cost . sunk cost B. expense D. operating cost Lowering in prices of commadites: ‘A. inflation ©. deflation B. bonus D. discount What is an annuity? A. the fulure worth of a present amount B, an annual repayment of a oan CC. a series of uniform amounts over a period of time 1D. alump sum at the end of the year 45 46 a7 48 49. 1€ 2D 3A 4A 5D 6B 98 1.0 1B 12d Be 46 7.8 18D 19.4 20D 24 22 2 260 27.6 2BA 29.8 30, 33a 34.4 35 A 366 37 C38 4L A 42.4 43.6 44.0 45.0 46, 49.8 50.6 What must two investments with same present worth and unequal lives have? A. identical salvage values B. different salvage values C._ ientical equivalent uniform annual cash flows D. ifferent equivalent uniforn annual cash flows. Which of the following does not atfact owners equity? ‘A, dividonds paid C. invesied capital B. license to start business D. revenues What is the acid test ratio? A. the ratio of owners equity to tatal current liabilities B sss Io total iabilios C. the ratio of current assats(exclusive inventory) to total current ‘ablities D._ the ratio of profit after taxes to equity Decrease in value of a physical property due to passage of time: A. ination ©. recession B. depletion D. depreciation ‘The cost of things that are nelther labor nor materials A, money C. damage 8. expanses D. asset Type of ovinership in business where individuals exercise and enjoy the right in thele own interest: ‘A. Equitable B. Public ©. Private D. Pure ANSWERS OF DAY 4 - MATH