GE 4 – MATHEMATICS IN THE MODERN WORLD

ASSESSMENT AND ACTIVITIES (online)

FINAL TERM

ANALYSIS: SIMPLE INTEREST

Instruction: Follow directions per item, the purpose of this task is to exercise your skills in solving for simple
interest in different situations/conditions. Provide a complete solution either hand-written or encoded. (5 pts
each)
Rubric:
5 points: Correct answer and complete solution
4 points: Correct answer, but incomplete solution
3 points: Complete solution, but incorrect answer
2 points: Incorrect answer and incomplete solution
1 point: Attempted to answer
0 point: No attempt at all

1. Determine the Actual and Approximate number of days in the given origin and maturity dates.
Origin Date Maturity Date Actual Time Approximate Time
A May 22, 1995 July 9, 1995 48 45
B January 6, 1997 November 6, 1997 304 300
C March 3, 2007 October 11, 2007 223 210
D February 4, 1990 November 5, 1992 1005 1095
E March 2, 2005 November 5, 2006 615 730

2. Joseph borrowed 𝑃ℎ𝑝 5,000 on November 2, 2015 from Arthemus, which is to be repaid on May 21, 2016 at 6.2%
simple interest per year. Find the amount to be repaid. How much will the interest be at the repayment date if the
following time factors are used?
a. Bankers Rule c. Approximate/360
b. Exact Simple Interest d. Approximate/365

Answer: D
Because he borrowed 5, 000 on November 2, 2015 from Arthemus, which is to be repaid on May 21, 2016 at 6.2%
simple interest per year. So interest is Approximate/365

3. How much should Mark pay to Michele if he borrowed 𝑃ℎ𝑝 10,000 on June 25, 2015 and if the principal and interest
are to be paid on November 18, 2015 at 15% simple interest per year? Use the following time factors.
a. Bankers Rule c. Approximate/360
b. Exact Simple Interest d. Approximate/365

Answer: B
10, 000 x (1+ 15%) 5/2
= 10, 000 x 1.15
= 10, 600.1

4. At what simple interest rate will a sum of money double itself in 5 years?

Answer:
2P = P + (P x R x T)/100
⇒ P = (P x R x 5)/100
⇒ 1 = (R x 5)/100
⇒ R = 20%
The rate of simple interest p.a is 20%

5. If Wendy wants to invest her Php25, 000, how many years will it take for her savings to accumulate to 𝑃ℎ𝑝 40,000 if
she invested her savings to a financial institution that provides a simple interest rate is 4.5% per year?

Answer: 1, 000, 000/3

x = 25, 000 – 40, 000/0.045

x = -15, 000/0.045
x = -15, 000/24/1000
x = -15, 000/9/200
x = -15, 000 x 200/9
x = 15, 000 x 200/3
x = - 1, 000, 000/3

6. An amount of P12, 500 is invested at 3.25% simple interest for 3 years. Complete the table below:
Time Principal Rate Interest Future Value
0 12, 500 0.0325 0 0
1 12, 500 0.0325 406.25 12, 906.25
2 12, 500 0.0325 812.5 13, 312.5
3 12, 500 0.0325 1, 218.75 13, 718.75

8. How much should Mrs. Dolores invest today in a time deposit with 5.5% interest if she expects to have P175, 000 for
his son’s education at the end of 5 years?

Answer: 133, 898.5119

Mrs. Dolores investment today is represented by p.

A=p (1+r) t
p=A/ (1+r) t
r=5.5%=0.055
A=175,000
t=5
p=175,000/1.0555
p= P 133,898.5119

9. Mr. Pascual, an airline owner, decided to invest P2.5 million to fund his department handling spare parts replacement.
How long will it take his investment to accumulate to P3.325 million if the bank’s interest rate is 5.5%?

Answer: 5.32 years

N= log (FV/PV)/log (1+r)

N= {log ({P3.325}/ {P2.5})}/ {log (1+0.055)}
N= log (1+0.055) log (P2.5P3.325)
N=5.32 years

10. Use Banker’s Rule to compute the simple interest of P10, 000 investments at 10% simple interest rate from April 14,
2004 to November 18 of the same year.

ANALYSIS: COMPOUND INTEREST

Instructions: Read and analyze each question carefully, answer the given real-life word problem. Show your solution
based on the given below. Organize and label your work on your answer sheets properly. (5 pts each)
Rubric:
5 points: Correct answer and complete solution
4 points: Correct answer, but incomplete solution
3 points: Complete solution, but incorrect answer
2 points: Incorrect answer and incomplete solution
1 point: Attempted to answer
0 point: No attempt at all

1. What is the present value of P65, 000 at 11% compounded annually for 4 years?

Answer: 42, 816.69 or 42, 817.00

65, 000 = P (1+ 0.11/1) (1) (4)

P = 65, 000/ (1.11)4
P = 65, 000/1.5181
P = 42, 816.69 or 42, 817.00

2. A P1, 000,000 – trust fund was set up and to be used by an 8 – year old nephew when he goes to college. In 8
years, how much will the fund are if the investment rate is 7.5% compounded quarterly?

Answer: 1, 812, 023.79

P = 1, 000, 000
t=8
r = 7.5%
r = 7.5 / 100 = 0.075

A = P (1+r/n) nt = 1, 000, 000 (1+0.075/n)

A = 1, 000, 000 (1 + 0.01875) 3 2
A = 1, 812, 023.79

3. Risa borrows P 150,000. At what rate compounded every two months, will her interest be if she agrees to pay
P10, 000 more at the end of 2 years?

Answer: 151.898%

R = 150, 000
P = 10, 000
t=2

r = 6 x [(150, 000) y6x2- 1]

r = 6 [5 1/12 – 1]
r = 1.518978
r = 1.518978 x 100
= 151.898%

4. Find the amount at the end of 5 years if P17, 535 is invested at 2.45% compounded quarterly.

Answer: 19, 812.74

P = 17, 535
r = 2.45%
n=4
t=5

F = 17, 535 x (1 + 2.24/100/4) 4.5

= 19, 812.74
 5. If money is worth 6% compounded every two months, find the present value of P 125,700 for 2 years.

Answer: 141641.91

r = 6%
P = 125, 700
t = 2 years

r = 6/100 = 0.06
A = P (1 + r/n) r t
A = 125, 700 (1 + 0.06/6)6 x 2
A = 125, 700 (1+0.01) 12
A = 161, 641.91

ANALYSIS: OTHER INVESTMENTS

Instructions: Read and analyze each question carefully, answer the given real-life word problem. Show your solution
based on the given below. Organize and label your work on the space provided for. (5 pts. each) Rubric:
5 points: Correct answer and complete solution
4 points: Correct answer, but incomplete solution
3 points: Complete solution, but incorrect answer
2 points: Incorrect answer and incomplete solution
1 point: Attempted to answer
0 point: No attempt at all

1. A company declares that next year’s dividend will be 1 per share. Everyone holding 100 shares will receive
Php25 once per quarter. Find the dividend yield.

Answer: 25%

25/100 x 100% = 25%

The given is incomplete to calculate the dividend yield you should first know the price per share.
Formula Dividend yield = ( annual dividend ÷ current share price )
Current share price is not given.

2. A 300 per share dividend was paid by a certain stock. The dividend is estimated to grow at 4.75% per year
until further notice. What is the price of the stock today if the required return is 8.75%?

Answer: 326.25

x - 300/ 300
= 8.75%
x = 326.25

3. Referring to the previous problem, what will be the stock price 1 year from today?

Answer: 377.65

x -30/ 300 = 8.75%

x = 326.25
x = (1+4.75) = 341.146
x – 347.75/ 347.75
= 8.75%
x = 377.65

4. You purchase a 1, 000 coupon bond. The coupon rate on the bond is 4%. What is the coupon payment?

Answer: 40

1000 x 4%
= 40
ANALYSIS: ANNUITIES
Instructions: Read and analyze each question carefully, answer the given real-life word problem. Show your solution
based on the given below. Organize and label your work on your answer sheets.
Rubric:
5 points: Correct answer and complete solution
4 points: Correct answer, but incomplete solution
3 points: Complete solution, but incorrect answer
2 points: Incorrect answer and incomplete solution
1 point: Attempted to answer
0 point: No attempt at all

1. Mr. Ribera paid P200, 000 as down payment for a car. The remaining amount is to be settled by paying P16,
200 at the end of each month for 5 years. If interest is 10.5% compounded monthly, what is the cash price of
his car?

Answer: 953, 702.20

Given: ₱ 200, 000 - down payment

₱ 16, 200 - regular payment
10.5 % - interest which is compounded monthly so we will have
.105/12 = .00875 which is the interest rate per period
5 years - time
60 - number of payments which is given by 12 months x 5 years
First, find the present value of the car using the formula: P = R 1 - (1 + j)⁻ⁿ/ i

P = R 1 - (1 + j)⁻ⁿ / i
P = ₱ 16, 200 (1 - 1 + .00875)⁻⁶⁰ / .00875
P = ₱ 6, 594.89425 / .00875
P = ₱ 753, 702. 20

Therefore, the present value of the car is P = ₱ 753, 702. 20.

Next, find the cash value of the car.
Cash Value = Present Value + Down payment
Cash Value = ₱ 753, 702. 20 + ₱ 200, 000
Cash Value = ₱ 953, 702. 20
Therefore, the cash value of Ms. Ribaya's car is ₱ 953, 702. 20.

2. In order to save for her high school graduation, Marie decided to save P200 at the end of each month.
If the bank pays 0.250% compounded monthly, how much will her money be at the end of 6 years?

Answer: 14, 507.02

R = 200
m = 12
i(12) - 0.250% -
i = 0.0025/12 = 0.0002083
t = 6 years
n = tm = 6(12) = 72 periods

F = R (1+i) n – 1
= (1+0.0002083)72 – 1 / 0.0002083
= 14, 507.02

3. Paolo borrowed P100, 000. He agrees to pay the principal plus interest by paying an equal amount of money
each year for 3 years. What should be his annual payment if interest is 8% compounded annually?

Answer: 38, 803.35

P = 100, 000
T = 3 years
R = 8%
 R = P/1 – (1+t) - n
R = 100, 000/1 – (1.08) - 3 / .08
R = 100, 000/- .08 -3/.08
R = 38, 803.35
Therefore, Paolo will pay ₱38, 803.35 annually for 3 years.

4. Find the future value of an ordinary annuity with a regular payment of P1, 000 at 5% compounded
quarterly for 3 years.

Answer:

FV = PMT [(1 + r)^ – 1] ÷ r

r = 5/400 = 0.0125
n = 3 x 4 = 12

= 1, 000 [(1.0125)12 – 1] ÷ 0.0125

= 1, 000 x 12.86
= 12, 860.36

5. Find the present value of an ordinary annuity with regular quarterly payments worth P1, 000 at 3%
annual interest rate compounded quarterly at the end of 4 years.

Answer: 15, 024.31

PV = 0
P = 1,000
R = 0.03/4
N = 4x4
P x [{(1 + R ) ^ N – 1} x ((1 + R) ^-N) x R^-1]
= 15, 024.31

6. Find the present value of a 2-year deferred annuity at 4% interest compounded quarterly with
payments of P1, 000 made every quarter for 3 years.

Answer: 10, 393.88

PV = 0
P = 1, 000
R = 0.04/4
N=3x4
P x [(1 + R) ^N – 1] x [(1 + R) ^ - N ]x R ^ - 1
11, 255.08

I assume the deferment period to be 2 years. Therefore, will bring forward the PV of the annuity to date.
PV =11,255.08 / [1 + 0.04/4]^(2 x 4) ] =11,255.08 / 1.0828567056280801
PV ==10,393.88 - the deferred annuity to date.

7. Melvin availed of a loan from a bank that gave him an option to pay P20, 000 monthly for 2 years. The first
payment is due after 4 months. How much is the present value of the loan if the interest rate is 10%
converted monthly?

Answer: 422, 759.78

R = 20, 000
m = 12
(i)12 = 0.10
k=3
n = mt = (12)(2) = 24
i = i(m)/m = 0.10/12

he present value of the deferral annuity can be solved as:

P = R 1 – (1 + i) –(k + n) / i – R 1- (1 + i)-k/i
 P = 20, 000 1 – (1 + 0.10/12)-12 / 0.10/12 -

8. Quarterly payments of 300 for 9 years that will start 1 year from now, What is the period of deferral in
the deferred annuity?

FINAL PERFORMANCE TASK

Instructions: Read and analyze each real-life world problem carefully, provide a complete solution with proper
labeling and give a three-sentence interpretation for your answer. 10 points each.
Rubric:
10 points: Correct answer and interpretation with complete solution
8 points: Correct answer and interpretation with incomplete solution
6 points: Complete solution, but incorrect answer and interpretation.
4 points: Incorrect answer and interpretation with incomplete solution.
2 points: Attempted to answer
0 point: No attempt at all

1. Which Offer has a better Fair Market Value? Company A offers P150, 000 at the end of 3 years plus P300, 000
at the end of 5 years. Company B offers P25, 000 at the end of each quarter for the next 5 years. Assume that
money is worth 8% compounded annually.
2. Kat received two offers for investments. The first one is P150, 000 every year for 5 years at 9%
compounded annually. The other investment scheme is P12, 000 per month for 5 years with the same
interest rate. Which fair market value between these offers is preferable?
3. You plan to purchase a house for $525,000 and you will make a 20% down payment. You are evaluating
two mortgages a 30-year fixed mortgage at 2.72% and a 15-year fixed mortgage at 2.25%. Your goal is to
have a monthly payment that fits within your budget.
a. Which mortgage will give you the lowest monthly payment? What will that payment be? How
much less will this be than the other monthly mortgage payment?
b. Assuming you take the full term of the mortgage, which mortgage will result in you paying the most
interest? What will that interest be? How much less will this be than the interest on the other
mortgage?

FINAL PROJECT

Instructions: Show/Express your thoughts about the relevance of “Mathematics” in the pandemic world. You
have the freedom to be creative, either hand-written/drawn or audio-visual. Use the available resources that
you have and follow the directions properly. Note: Choose ONE TASK only!
 Task Rubric for Assessment

Essay Instruction: Write at least a 1,000-word essay

about the topic given. Do it hand-written or
encoded, depending on the availability of
resources.
Criteria:
40% - Originality of text
40% - Structure and Organization
20% - Real-life composition

Slogan Making Instruction: Show your artistry / creativity by

making a slogan based on the given topic. (At
most 15 words). Do it hand-made or in any
software, depending on the availability of
resources. Criteria:
40% - Originality of text
40% - Structure and Organization
20% - Real-life composition

Poster Making Instruction: Show your artistry / creativity by

making a poster based on the given topic. Do it
hand-made or in any software, depending on the
availability of resources.
Criteria:
50% - Originality of artwork
30% - Structure and Organization
20% - Real-life connection of the topic

Video Presentation (Vlog) Instruction: Show your creativity by making a

video (at most 5 minutes) based on the given
topic. (Be mindful and responsible of the
content) Criteria:
60% - Originality of the video content
20% - Structure and Organization
20% - Real-life connection of the topic