activity 3

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QUARTER 2 | ACTIVTY 3: FMV & STOCKS

& BONDS
NAME: __________________________________________ SCORE: ___________

DIRECTIONS: Read each word problem mindfully. Provide the appropriate response for each
question and affix your solution to earn point.

TEST I: Problem Solving

1. Investment in Sunrise Company is ₱ 100,000 at the end of 5 years plus ₱ 24,000


annually for 4 years afterwards. Investment in XYZ company offers ₱ 50,000 semi-
annually ₱ 15,000 every 6 months after 6 years. Assume that the money is worth 9%
compounded annually, which investment is preferable?

2. A motorcycle is for sale ₱ 60,500 cash or on installment terms ₱ 3,000 per month for
2 years at 12% compounded annually. If you were the buyer, what would you prefer,
cash or installment?

TEST II: Definition of Terms

1. The current price of a stock at which it can be sold is called _______________.


2. A person or institution who invests the money or make the funds available is called
_________________.
3. A person or institution who owes the money or avails of the funds from the lender is
called ___________________.
4. The amount of money borrowed or invested on the origin date is called
___________________.
5. The amount paid or earned for the use of money is called ___________________.
6. A stake of ownership in a company that is sold off in exchange for cash is called
_______________________.
7. An equity market where regular activities of buying, selling, and issuance of shares
of publicly-held companies take place is referred to as ________________.
8. A sum of money paid by a company to its shareholders out of its profits is called
____________________.
QUARTER 2 | ACTIVTY 3: FMV & STOCKS
& BONDS
9. An investment adviser who executes buy and sell orders for stocks and other
securities on behalf of clients is called as _______________________.
10. A debt that the company or entity enters into with the investor that pays the
investor interest on that debt is referred as ________________________.

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