EXERCISES 5.1.

Name: Score: ____________________

Section: BSN-1A Date: _____________________

1. Mrs. Rodriguez wants to purchase a washing machine listed at P25,000.00 cash and

P25,950.00 if paid at an instalment basis of 4 months. What is the rate of interest?

950

25,000 x 4/12

=0.114 or 11.4%

2. An interest of P850.00 was earned in 5 months on an investment at 10%. How much was

invested?

850

0.1 x 5/12

= 20400

3. What principal will accumulate to P215,000.00 in 3 years at 12% simple interest?

215,000

0.12 x 3

=597,222.22