SET 1

Question 1
Given:
a 600000
Bank A Bank B
P 600000 a 100000
r 0.085 n 6
m 12 r 0.0070833333
t 0.5 FV Nu610,725.88
CA 625955.8 Interest Nu10,725.88
Interest 25955.85

i.Therefore, Lhamo receive higher interest when she deposited all her money in bank at once.

ii.
FV 608818.4
n 6
r ?
a 100000

Rate 1%
Question 2
Given:
House 15000000
Down paym 5250000
PV 9750000
r 0.004875
n 60
i. Monthly Nu187,815.52

ii.Amortization Schedule
Principal
Principal balance
PMT No. outstanding at the Interest Annuity Principal Repaid
at the end
beginning
1 9750000 47531.25 Nu187,815.52 Nu140,284.27 Nu9,609,715.73
2 Nu9,609,715.73 Nu46,847.36 Nu187,815.52 Nu140,968.16 Nu9,468,747.57
3 Nu9,468,747.57 Nu46,160.14 Nu187,815.52 Nu141,655.38 Nu9,327,092.20
4 Nu9,327,092.20 Nu45,469.57 Nu187,815.52 Nu142,345.95 Nu9,184,746.25
5 Nu9,184,746.25 Nu44,775.64 Nu187,815.52 Nu143,039.88 Nu9,041,706.37
6 Nu9,041,706.37 Nu44,078.32 Nu187,815.52 Nu143,737.20 Nu8,897,969.17
7 Nu8,897,969.17 Nu43,377.60 Nu187,815.52 Nu144,437.92 Nu8,753,531.25
8 Nu8,753,531.25 Nu42,673.46 Nu187,815.52 Nu145,142.06 Nu8,608,389.19
9 Nu8,608,389.19 Nu41,965.90 Nu187,815.52 Nu145,849.62 Nu8,462,539.57
10 Nu8,462,539.57 Nu41,254.88 Nu187,815.52 Nu146,560.64 Nu8,315,978.93
11 Nu8,315,978.93 Nu40,540.40 Nu187,815.52 Nu147,275.12 Nu8,168,703.81
12 Nu8,168,703.81 Nu39,822.43 Nu187,815.52 Nu147,993.09 Nu8,020,710.72
13 Nu8,020,710.72 Nu39,100.96 Nu187,815.52 Nu148,714.56 Nu7,871,996.16
14 Nu7,871,996.16 Nu38,375.98 Nu187,815.52 Nu149,439.54 Nu7,722,556.62
15 Nu7,722,556.62 Nu37,647.46 Nu187,815.52 Nu150,168.06 Nu7,572,388.56
16 Nu7,572,388.56 Nu36,915.39 Nu187,815.52 Nu150,900.13 Nu7,421,488.44
17 Nu7,421,488.44 Nu36,179.76 Nu187,815.52 Nu151,635.76 Nu7,269,852.67
18 Nu7,269,852.67 Nu35,440.53 Nu187,815.52 Nu152,374.99 Nu7,117,477.69
19 Nu7,117,477.69 Nu34,697.70 Nu187,815.52 Nu153,117.82 Nu6,964,359.87
20 Nu6,964,359.87 Nu33,951.25 Nu187,815.52 Nu153,864.27 Nu6,810,495.60
21 Nu6,810,495.60 Nu33,201.17 Nu187,815.52 Nu154,614.35 Nu6,655,881.25
22 Nu6,655,881.25 Nu32,447.42 Nu187,815.52 Nu155,368.10 Nu6,500,513.15
23 Nu6,500,513.15 Nu31,690.00 Nu187,815.52 Nu156,125.52 Nu6,344,387.63
24 Nu6,344,387.63 Nu30,928.89 Nu187,815.52 Nu156,886.63 Nu6,187,501.00
25 Nu6,187,501.00 Nu30,164.07 Nu187,815.52 Nu157,651.45 Nu6,029,849.55
26 Nu6,029,849.55 Nu29,395.52 Nu187,815.52 Nu158,420.00 Nu5,871,429.54
27 Nu5,871,429.54 Nu28,623.22 Nu187,815.52 Nu159,192.30 Nu5,712,237.24
28 Nu5,712,237.24 Nu27,847.16 Nu187,815.52 Nu159,968.36 Nu5,552,268.88
29 Nu5,552,268.88 Nu27,067.31 Nu187,815.52 Nu160,748.21 Nu5,391,520.67
30 Nu5,391,520.67 Nu26,283.66 Nu187,815.52 Nu161,531.86 Nu5,229,988.81
31 Nu5,229,988.81 Nu25,496.20 Nu187,815.52 Nu162,319.32 Nu5,067,669.49
32 Nu5,067,669.49 Nu24,704.89 Nu187,815.52 Nu163,110.63 Nu4,904,558.86
33 Nu4,904,558.86 Nu23,909.72 Nu187,815.52 Nu163,905.80 Nu4,740,653.06
34 Nu4,740,653.06 Nu23,110.68 Nu187,815.52 Nu164,704.84 Nu4,575,948.22
35 Nu4,575,948.22 Nu22,307.75 Nu187,815.52 Nu165,507.77 Nu4,410,440.45
36 Nu4,410,440.45 Nu21,500.90 Nu187,815.52 Nu166,314.62 Nu4,244,125.83
 37 Nu4,244,125.83 Nu20,690.11 Nu187,815.52 Nu167,125.41 Nu4,077,000.42
38 Nu4,077,000.42 Nu19,875.38 Nu187,815.52 Nu167,940.14 Nu3,909,060.28
39 Nu3,909,060.28 Nu19,056.67 Nu187,815.52 Nu168,758.85 Nu3,740,301.43
40 Nu3,740,301.43 Nu18,233.97 Nu187,815.52 Nu169,581.55 Nu3,570,719.88
41 Nu3,570,719.88 Nu17,407.26 Nu187,815.52 Nu170,408.26 Nu3,400,311.61
42 Nu3,400,311.61 Nu16,576.52 Nu187,815.52 Nu171,239.00 Nu3,229,072.61
43 Nu3,229,072.61 Nu15,741.73 Nu187,815.52 Nu172,073.79 Nu3,056,998.82
44 Nu3,056,998.82 Nu14,902.87 Nu187,815.52 Nu172,912.65 Nu2,884,086.17
45 Nu2,884,086.17 Nu14,059.92 Nu187,815.52 Nu173,755.60 Nu2,710,330.57
46 Nu2,710,330.57 Nu13,212.86 Nu187,815.52 Nu174,602.66 Nu2,535,727.91
47 Nu2,535,727.91 Nu12,361.67 Nu187,815.52 Nu175,453.85 Nu2,360,274.06
48 Nu2,360,274.06 Nu11,506.34 Nu187,815.52 Nu176,309.18 Nu2,183,964.88
49 Nu2,183,964.88 Nu10,646.83 Nu187,815.52 Nu177,168.69 Nu2,006,796.19
50 Nu2,006,796.19 Nu9,783.13 Nu187,815.52 Nu178,032.39 Nu1,828,763.80
51 Nu1,828,763.80 Nu8,915.22 Nu187,815.52 Nu178,900.30 Nu1,649,863.50
52 Nu1,649,863.50 Nu8,043.08 Nu187,815.52 Nu179,772.44 Nu1,470,091.07
53 Nu1,470,091.07 Nu7,166.69 Nu187,815.52 Nu180,648.83 Nu1,289,442.24
54 Nu1,289,442.24 Nu6,286.03 Nu187,815.52 Nu181,529.49 Nu1,107,912.75
55 Nu1,107,912.75 Nu5,401.07 Nu187,815.52 Nu182,414.45 Nu925,498.31
56 Nu925,498.31 Nu4,511.80 Nu187,815.52 Nu183,303.72 Nu742,194.59
57 Nu742,194.59 Nu3,618.20 Nu187,815.52 Nu184,197.32 Nu557,997.27
58 Nu557,997.27 Nu2,720.24 Nu187,815.52 Nu185,095.28 Nu372,901.98
59 Nu372,901.98 Nu1,817.90 Nu187,815.52 Nu185,997.62 Nu186,904.36
60 Nu186,904.36 Nu911.16 Nu187,815.52 Nu186,904.36 -Nu0.00
Total Nu311,575,634.71 Nu1,518,931.22 Nu11,268,931.22 Nu9,750,000.00 Nu301,825,634.71

iii. Nu176,309.18
iv. Nu3,618.20
v. Nu16,518,931.22