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Questions -
Q1. A contract calls for a payment of P1,200 at the beginning of each month for 12 months. At what rate compounded annually would this agreement be equivalent to a cash payment of P10,000?
A. 10%
B. 13.63%
C. 12%
D. 12.45%
Q2. Mr. Cruz will invest P5000 in a fund at the end of each 6 months to accumulate P100,000 to buy a machine. If the fund is invested at 6.5% compounded semi-annually, how many years will the fund contain at least P100,000?
A. 8
B. 16
C. 15
D. 9
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