Accumulation phase Consolidation phase Spending/Gifting phase

Long term; retirement, college Long term; Estate planning

fund
Short term; lifestyle needs, spendings
Short term; travel, House, car,
marriage Long term;
Retirement

Short term; vacation,

children’s college needs

Hinoyog, Nova E. BSBA-3D February 17, 2022

Instruction. Submit your answers through Google Classroom or FB Messenger.

Part I. Develop your own table on rise and fall of personal net worth over a lifetime. Use your current age for accumulation phase
and your preferred age for the spending/gifting phase. (20 points)

21 25 30 35 40 45 50 55 60 65 70 75 80 85 Age

Part II. Complete the table below to determine the value and benefits of investing early. (60 points)

The Future Value The Future Value The Future Value of

of an Initial of Investing the Initial
Php12,000 Php2,000 Investment and
Investment Annually Annual Investment
Interest Rate 8%

10 years 25,907.1 28,937.12 54,844.22

20 years 55,931.48 91,523.92 147,455.4

30 years 120,751.88 226,566.42 347,318.3

Interest Rate 10%

10 years 31,124.90 31,874.85 62,999.75

15 years 50,126.98 63,544.96 113,671.94

20 years 80,729.99 114,549.99 195,279.98