Engineering Economics
You borrow P3,500.00 for one year from a friend at an interest rate of 1.5% per month instead of taking a loan from a bank at a rate of 18% per year. How much lesser you will pay by borrowing the money from the bank?

P37.56
P 62.44
P44.55
P54.66

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Engineering Economics
Which is NOT an essential element of an ordinary annuity?

The first payment is made at the beginning of the first period.
The amounts of all payments are equal.
Compound interest is paid on all amounts in the annuity.
The payments are made at equal interval of time.

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