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3.09 Set 3 Mock Exam Rea
3.09 Set 3 Mock Exam Rea
SET 3
2. A residential land is located at Orange City with an area of 2,200 square meters and
cost per sq.m. is P3,500. It has a corner influence of 25% because of its location,
topography advantage of 20% because it is plain and a plottage of 10% because of its
shape. Compute the value of the property.
3. Using the 4-3-2-1 depth rule, if a 10-hectare belonging to different owners namely;
Mamita, Tiyo, Alan and L.A was sold for P10,0M, what is the share of each owner?
4. Rebisco bought 50 hectares of land at P700 per sq.m. If the medium subd.
development costs of P1,000/sq.m. is based on the saleable area which is 60% of the
gross area, compute the following:
(a) Total land acquisition cost;
(b) Total Development cost;
(c) Total unit costs per sq.m. of the saleable lots;
(d) If the projected gross mark up is 100% of the total unit costs/sq.m. of the saleable
lots, what will be the selling price per square meter?
For Question Nos. 5-7 A Real Estate Property was valued and assessed by Mun.
Assessor in the following amount and rate:
6. Total Special Education Fund Tax for one year before discount?
8. A commercial property producing an annual gross income of P390,000 was sold two
months ago for P3,412,500. What is the property's gross income multiplier?
V=I/R
Where: V= Value
I= income
Rate= interest rate
To find the Building value, the Rate should be interest rate plus recapture rate; formula
property, assuming a
Rate= interest rate + Recapture rate
Recapture rate= 1/Economic life of the building
10: You can afford to put 10,000 in a savings account today that pays 6% interest
compounded annually. How much will you have 5 years from now if you make no
withdrawals?
PV = 10,000 i = .06 n = 5
FV = 10,000 (1 + .06)5 = 10,000 (1.3382255776)
ANSWER = 13,382.26
11. Another financial institution offers to pay 6% compounded semiannually. How much
will your 10,000 grow to in five years at this rate?
12. What amount will accumulate if we deposit 5,000 at the end of each year for the
next 5 years? Assume an interest of 6% compounded annually. FV = PMT ([(1 + i )n –
1]/i )
13. What amount will accumulate if we deposit 5,000 at the beginning of each year for
the next 5 years? Assume an interest of 6% compounded annually. . FV = PMT ([(1 + i
)n + 1]/i )
14. You want to buy a house 5 years from now for 150,000. Assuming a 6% interest
rate compounded annually, how much should you invest today to yield 150,000 in 5
years?
PV=FV(1+i)^-n pv=150000(1.06)^-5
PV = FV [( 1 ) /(1 + i)n
FV = 150,000
i =.06
n=5
PV = 150,000 [( 1 ) / (1 + .06)5]
= 150,000 [( 1 ) / 1.3382255776 ]
ANSWER = 112,088.73
15. What amount must you invest today at 6% compounded annually so that you can
withdraw 5,000 at the end of each year for the next 5?
PV = PMT [( 1-(1 + i)-n ] / i
5000((1-(1+.06)^-5))/.06
PMT = 5,000
i = .06
n=5
PVoa = 5,000 [(1 - (1/(1 + .06)5)) / .06] = 5,000 (4.212364)
Answer= 21,061.82