Jana, now 23 years old, is a grade school teacher in Batangas City. She has been invited by her high school classmate, Kathleen, who is now a financial advisor to invest in their insurance company. Having had the conversation, having her plan to retire early at 55, she invested for Php 3,500 per quarter at an interest rate of 5.5% compounding quarterly. What will be the future worth of her investment if she chose to pay using ordinary annuity where she pays at the end of each quarter?

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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Jana, now 23 years old, is a grade school teacher in Batangas City. She has been invited
by her high school classmate, Kathleen, who is now a financial advisor to invest in
their insurance company. Having had the conversation, having her plan to retire early
at 55, she invested for Php 3,500 per quarter at an interest rate of 5.5% compounding
quarterly. What will be the future worth of her investment if she chose to pay using
ordinary annuity where she pays at the end of each quarter?
O Php 711,605.29
Php 612,196.72
Php 592,061.17
Php 617,291.20
Transcribed Image Text:Jana, now 23 years old, is a grade school teacher in Batangas City. She has been invited by her high school classmate, Kathleen, who is now a financial advisor to invest in their insurance company. Having had the conversation, having her plan to retire early at 55, she invested for Php 3,500 per quarter at an interest rate of 5.5% compounding quarterly. What will be the future worth of her investment if she chose to pay using ordinary annuity where she pays at the end of each quarter? O Php 711,605.29 Php 612,196.72 Php 592,061.17 Php 617,291.20
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