Amortización y Mercado de Dinero

INDEX
I. LABORATORY #3B ................................................................................................. 1
II. LABORATORY #4 ................................................................................................. 14
III. AMORTIZATION OF LOANS IN PESOS AND IN UDIS I ..................................... 33
IV. AMORTIZATION OF LOANS IN PESOS AND IN UDIS II ................................... 49
V. BONDS AND UDIBONDS ..................................................................................... 80
ATTACHED ............................................................................................................... 86
REFERENCIAS ......................................................................................................... 98
1
I. LABORATORY 3B
1. A person deposits $2,300 each month in arrears in a savings account that pays him
9.3% per year compounded each month. How much will he have saved after five years?
Data:
9.3
𝑅 = $2,300 ; 𝑖𝑝 = % 𝑚𝑜𝑛𝑡𝑙𝑦 ; 𝑛 = 10 𝑦𝑒𝑎𝑟𝑠 = 60 𝑚𝑜𝑛𝑡ℎ𝑠
12
𝑛+1
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
: 𝑆𝑎⌉𝑛 = R [ ]
𝑖𝑝
9.3 60+1 9.3

(1 + 12 ) − (1 + 12 )
⟹ 𝑆𝑎⌉𝑛 = 2,300 [ ]
9.3
12
∴ 𝑆𝑎⌉𝑛 = $176,203.4103
2. Fernando buys an apartment that costs $3,315,000 cash. He gives an advance

of 25% and the balance is going to be settled in 25 years through monthly installments.
Calculate the value of the monthly payment, if the interest rate is 10.8% compounded
each month.
Data:
𝐴𝑎⌉𝑛 = $3,315,000 ; 𝑖𝑝 = 10.8% 𝑚𝑜𝑛𝑡ℎ𝑙𝑦 ; 𝑛 = 300 𝑚𝑜𝑛𝑡ℎ𝑠

⟹ 𝐴𝑎⌉𝑛 = 3,315,000 − 828,750 = 2,486,250
𝑛+1
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 ) 𝐴𝑛⌉ 𝑖𝑝
: 𝐴𝑎⌉𝑛 = R [ ]⟹𝑅=[ −(𝑛−1)
]
𝑖𝑝 (1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
(2,486,250)(0.108)
⟹𝑅=[ ]
(1 + 0.108) − (1 + 0.108)−(300−1)
∴ 𝑅 = $24,234.20578
3. Karla can save $300 biweekly. If she deposits them in a popular financial
company (SOFIPO) that pays 7.12% capitalized every fortnight, how long will it take for
her to save $20,028?
Data:
2
𝑆𝑎⌉𝑛 = $20,028 ; 𝑖𝑝 = 7.12% 𝑓𝑜𝑟𝑡𝑛𝑖𝑔ℎ𝑡 ; 𝑅 = $300
𝑛+1
𝑖𝑝 𝑆𝑎𝑛⌉
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 ) 𝐼𝑛 [( 𝑅 ) + (1 + 𝑖𝑝 )]
: 𝑆𝑎⌉𝑛 = R [ ]⟹𝑛={ − 1}
𝑖𝑝 𝐼𝑛 (1 + 𝑖𝑝 )
(0.0712)(20,028)
𝐼𝑛 [( ) + (1 + 0.0712)]
300
⟹𝑛={ − 1}
𝐼𝑛 (1 + 0.0712)
∴ 𝑛 = 37.23873465
4. Mr. Arteaga is going to retire in 2 months. He has a pension fund of $438,765

and wants to withdraw $4,000 every fortnight. If the money is invested at 10%
compounded biweekly, how many biweekly payments of $4000 will he receive?
Data:
10
𝑅 = $4,000 ; 𝑆𝑎⌉𝑛 = $438,765 ; 𝑖𝑝 = % 𝑏𝑖𝑤𝑒𝑒𝑘𝑙𝑦
24
𝑛+1
𝑖𝑝 𝑆𝑎𝑛⌉
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 ) 𝐼𝑛 [( 𝑅 ) + (1 + 𝑖𝑝 )]
: 𝑆𝑎⌉𝑛 = R [ ]⟹𝑛={ − 1}
𝑖𝑝 𝐼𝑛 (1 + 𝑖𝑝 )
0.10
( 24 ) (438,765) 0.10
𝐼𝑛 [( ) + (1 + 24 )]
4,000
⟹𝑛= − 1 = 90.21365024
0.10
𝐼𝑛 (1 + 24 )
{ }
∴ 𝑛 = 90 𝑏𝑖𝑤𝑒𝑒𝑘𝑙𝑦 𝑝𝑎𝑦𝑚𝑒𝑛𝑡𝑠
5. The A family wants to start saving for a trip to Hawaii in two years. To this end,
$4,000 is deposited at the end of each fortnight in an account that generates interest
at a rate of 1.31% per month, compounded each fortnight. Get the amount and interest
earned.
Data:
3
𝑖 1.31
𝑅 = $4,000 ; 𝑖𝑝 = = = 0.655% 𝑓𝑜𝑟𝑡𝑛𝑖𝑔ℎ𝑡𝑙𝑦 ; 𝑛 = 2 𝑦𝑒𝑎𝑟𝑠 = 48 𝑓𝑜𝑟𝑡𝑛𝑖𝑔ℎ𝑡𝑠
𝑚 2
𝑛+1
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
: 𝑆𝑎⌉𝑛 = R [ ]
𝑖𝑝
(1 + 0.00655)48+1 − (1 + 0.00655)
⟹ 𝑆𝑎⌉𝑛 = 4,000 [ ]
0.00655
∴ 𝑆𝑎⌉𝑛 = $226,225.8428
6. Obtain the present value of $50,000 semiannually for five and a half years, at
an interest rate of 28% compounded semiannually.
Data:
𝑅 = $50,000 ; 𝑖𝑝 = 28% 𝑠𝑒𝑚𝑖𝑎𝑛𝑛𝑢𝑎𝑙𝑙𝑦 ; 𝑛 = 11 𝑠𝑒𝑚𝑒𝑠𝑡𝑒𝑟𝑠

−(𝑛−1)
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
: 𝐴𝑎⌉𝑛 = 𝑅[ ]
𝑖𝑝
(1 + 0.28) − (1 + 0.28)−(11−1)
⟹ 𝐴𝑎⌉𝑛 = 50,000 [ ]
0.28
∴ 𝐴𝑎⌉𝑛 = $213,445.8402
7. How much must be deposited at the end of each bimester period in an account
that pays 14% annually with bimonthly compounding, to accumulate 500,000 pesos at
the end of 9 years and 10 months?
Data:
𝑖 14
𝑆𝑎⌉𝑛 = $500,000 ; 𝑖𝑝 = = % 𝑏𝑖𝑚𝑜𝑛𝑡ℎ𝑙𝑦 ; 𝑛 = 59 𝑏𝑖𝑚𝑒𝑠𝑡𝑒𝑟𝑠
𝑚 6
𝑛+1
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 ) 𝑖𝑝 𝑆𝑎⌉𝑛
: 𝑆𝑎⌉𝑛 = R [ ]⟹𝑅=[ 𝑛+1 ]
𝑖𝑝 (1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
0.14
( 6 ) (500,000)
⟹𝑅=[ ]
0.14 59+1 0.14
(1 + 6 ) − (1 + 6 )
∴ 𝑅 = $3,931.922435
4
8. How many weekly payments of $246.72 each will the buyer of a room costing
$6,200 have to make if he puts down 20% and agrees to pay 41.5% interest
compounded weekly?
Data:
𝑖 41.5
𝑅 = $246.72 ; 𝑆𝑎⌉𝑛 = $6,200 =; 𝑖𝑝 = % 𝑤𝑒𝑒𝑘𝑙𝑦
𝑚 52
𝑛+1
𝑖𝑝 𝑆𝑎⌉𝑛
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 ) ln [( 𝑅 ) + (1 + 𝑖𝑝 )]
: 𝑆𝑎⌉𝑛 = R[ ]⟹𝑛={ − 1}
𝑖𝑝 ln(1 + 𝑖𝑝 )
41.5
( ) (6,200) 41.5
ln [( 52246.72 ) + (1 + )]
52
⟹𝑛= −1
41.5
ln (1 + )
52
{ }
∴ 𝑛 = 13.49950691; 𝑖. 𝑒. ; 𝑛 = 13 𝑤𝑒𝑒𝑘𝑙𝑦 𝑝𝑎𝑦𝑚𝑒𝑛𝑡𝑠
9. The father of an 8-year-old boy begins to save so that his son can study for a
university degree. He plans to deposit $3,500 into a savings account at the end of each
month for the next 10 years. If the interest rate is 8.4% per year.
What will be the amount of the account after 10 years?
Data:
8.4
𝑅 = $3,500 ; 𝑖 = % 𝑚𝑜𝑛𝑡ℎ𝑙𝑦 ; 𝑛 = 120𝑚𝑜𝑛𝑡ℎ𝑠
12
𝑛+1
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
: 𝑆𝑎⌉𝑛 = R [ ]
𝑖𝑝
8.4 120+1 8.4

(1 + [ 12 ]) − (1 + [ 12 ])
⟹ 𝑆𝑎⌉𝑛 = 3,500 [ ]
8.4
[ 12 ]
∴ 𝑆𝑎⌉𝑛 = $659 382.7848

5
10. Raquel wants to retire this year and believes that a monthly payment of
$18,000 for the next 20 years will be enough to live well. How much money should she
have in her retirement fund to be able to withdraw the desired amount, knowing that it
pays her 9.5% per year compounded each month?
Data:
9.5
𝑅 = $18,000 ; 𝑖𝑝 = % 𝑚𝑜𝑛𝑡ℎ𝑙𝑦 ; 𝑛 = 240 𝑚𝑜𝑛𝑡ℎ𝑠
12
−(𝑛−1)
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
: 𝐴𝑎⌉𝑛 = R[ ]
𝑖𝑝
0.095 0.095 −(240−1)

(1 + [ 12 ]) − (1 + [ 12 ])
⟹ 𝐴𝑎⌉𝑛 = 18,000 [ ]
0.095
[ 12 ]
∴ 𝐴𝑎⌉𝑛 = $1 946 346.205
11. How much do you have to deposit each fortnight in an investment that earns
8.55% compounded biweekly to have $400,000 at the end of 5 years? What is the
interest earned on the investment?
Data:
8.5
𝑆𝑎⌉𝑛 = $400,000 ; 𝑖𝑝 = % 𝑏𝑖𝑤𝑒𝑒𝑘𝑙𝑦 ; 𝑛 = 120 𝑏𝑖𝑤𝑒𝑒𝑘𝑙𝑦
24
𝑛+1
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 ) 𝑖𝑝 𝑆𝑛⌉
: 𝑆𝑎⌉𝑛 = R [ ]⇒𝑅=[ 𝑛+1 ]
𝑖𝑝 (1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
0.085
( 24 ) 400,000
⟹𝑅={ }
0.085 120+1 0.085
[1 + ( 24 )] − [1 + ( 24 )]
∴ 𝑅 = $2,671.373553
12. How many fortnightly deposits of $1,602.77 each must be made to accumulate
a total of $100,000 if 11% capitalized interest is earned every fortnight?
Data:
6
11
𝑆𝑎⌉𝑛 = $100,000 ; 𝑅 = $1602.77 ; 𝑖𝑝 = % biweekly
24
𝑛+1
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 ) ln ( 𝑅 ) + (1 + 𝑖𝑝 )
: 𝑆𝑎⌉𝑛 = R[ ]⟹𝑛=[ − 1]
11
(24) 100 000 11
ln [ 1602.77 + (1 + (24))]
ln 30.05465928
𝑛= −1 = − 1 = 8.019532818
11 35
ln [1 + (24)] ln 24
{ }
∴ 𝑛 = 8 𝑏𝑖𝑤𝑒𝑒𝑘𝑙𝑦 𝑑𝑒𝑝𝑜𝑠𝑖𝑡𝑠
13. A person buys a computer on credit today for $19,750 and agrees to pay for
it in 4 monthly installments in arrears. How much will she have to pay each month if
she is charged 1.8% interest per month?
Data:
𝑆𝑎⌉𝑛 = $19,750 ; 𝑛 = 4 ; 𝑖𝑝 = 1.8%
𝑛+1
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
: 𝑆𝑎⌉𝑛 = 𝑅 [ ]
𝑖𝑝
⟹𝑅=[ 𝑛+1 ]
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
(0.018)(19750)
⟹𝑅=[ ]
(1 + 0.018)4+1 − (1 + 0.018)
∴ 𝑅 = $4,721.187844
14. The cash value of a pool table is $22,000. It can be purchased on credit by
making 6 bimonthly payments, the first of which is due 6 months after purchase. If the
interest charged is 4% bimonthly, how much should the payments be?
Data:
𝑆𝑎⌉𝑛 = $22 000 ; 𝑖𝑝 = 4% 𝑏𝑖𝑚𝑜𝑛𝑡ℎ𝑙𝑦 ; 𝑛 = 6 𝑏𝑖𝑚𝑜𝑛𝑡ℎ𝑙𝑦

7
𝑛+1
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
: 𝑆𝑎⌉𝑛 = 𝑅 [ ]
𝑖𝑝
⟹𝑅=[ 𝑛+1 ]
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
(0.04)(22000)
⟹𝑅=[ ]
(1 + 0.04)6+1 − (1 + 0.04)
∴ 𝑅 = $3,189.194092
15. In October, a store offers a "Buy Now, Pay Later" sales plan to the public.
Under this plan, architect Servín purchases a desk, which he receives on November 1,
and must pay for it in 12 monthly installments of $180 starting on January 1 of the
following year. Considering an interest rate of 36% per annum convertible monthly,
what is the cash value of the furniture?
Data:
𝑅 = $180 ; 𝑖𝑝 = 36% 𝑎𝑛𝑛𝑢𝑎𝑙 ; 𝑛 = 12
𝑛+1
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
: 𝑆𝑎⌉𝑛 = 𝑅 [ ]
𝑖𝑝
0.36 12+1 0.36

(1 + 12 ) − (1 + 12 )
⟹ 𝑆𝑎⌉𝑛 = 180 [ ]
0.36
12
∴ 𝑆𝑎⌉𝑛 = $2,631.202281
16. Pedro Páramo has a debt of $10,075 that he must repay with a payment of
$3,000 in 3 months and then as many monthly payments of $725 as necessary to pay
it off, starting in 6 months. If the interest rate at which the loan was contracted is 37.68%
compounded monthly, how many monthly payments must she make?
Data:
𝑖𝑝 = 37.68% ; 𝑆𝑎⌉𝑛 = $7,075 ; 𝑅 = $725

𝑛+1
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
: 𝑆𝑎⌉𝑛 = 𝑅 [ ]
𝑖𝑝
8
ln [( 𝑅 ) + (1 + 𝑖𝑝 )]
⟹𝑛= { − 1}
ln(1 + 𝑖𝑝 )
(0.3768)(7,075)
ln [( ) + (1 + 0.3768)]
725
⟹𝑛={ − 1}
ln(1 + 0.3768)
∴ 𝑛 = 4.066737638 𝑚𝑜𝑛𝑡ℎ𝑠
17. Suppose $5000 is deposited at the end of each month in a bank that pays an
interest rate of 1.5% per month compounded each month. What will the amount be after
six months?
Data:
𝑅 = $5,000 ; 𝑖𝑝 = 1.5% ; 𝑛 = 6
𝑛+1
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
: 𝑆𝑎⌉𝑛 = 𝑅 [ ]
𝑖𝑝
(1 + 0.015)6+1 − (1 + 0.015)
⟹ 𝑆𝑎⌉𝑛 = 5,000 [ ]
0.015
∴ 𝑆𝑎⌉𝑛 = $31,614.9709777
18. How much must a parent initially invest, at 8% interest compounded quarterly,
to withdraw $35,000 at the end of each quarter for 4 years?
Data:
8
𝑅 = $35,000 ; 𝑖𝑝 = 𝑞𝑢𝑎𝑟𝑡𝑒𝑟𝑙𝑦 = 2% ; 𝑛 = (4 𝑦𝑒𝑎𝑟𝑠)(4 𝑞𝑢𝑎𝑟𝑡𝑒𝑟𝑙𝑦) = 16 𝑞𝑢𝑎𝑟𝑡𝑒𝑟𝑙𝑦
4
−(𝑛−1)
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
: 𝐴𝑎⌉𝑛 = 𝑅[ ]
𝑖𝑝
(1 + 0.02) − (1 + 0.02)−(16−1)
⟹ 𝐴𝑎⌉𝑛 = 35,000 [ ]
0.02
∴ 𝐴𝑎⌉𝑛 = $484,724.2225
9
19. Raquel wants to retire this year and believes that a monthly payment of
$18,000 for the next 20 years will be enough to live well. How much money should she
have in her retirement fund to be able to withdraw the desired amount, knowing that it
pays her 9.5% annual compounded each month?
Data:
9.5
𝑅 = $18,000 ; 𝑖𝑝 = 𝑚𝑜𝑛𝑡ℎ𝑙𝑦 ; 𝑛 = 240 𝑚𝑜𝑛𝑡ℎ𝑠
12
𝑛+1 −𝑛
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 ) 1 − (1 + 𝑖𝑝 )
: 𝑆𝑎⌉𝑛 = 𝑅 [ ] = 𝑅[ ]
𝑖𝑝 𝑖𝑝
0.095 −240
1 − (1 + 12 )
⟹ 𝑆𝑎⌉𝑛 = 18,000 [ ]
0.095
12
∴ 𝑆𝑎⌉𝑛 = $1,931,058.66
20. How much should the father of a student invest one year before he begins his
professional studies, if he knows that he will need $30.00 at the beginning of each
quarter for 2 years and 8 months and the interest is 9.5% per year compounded by
quarters?
Data:
9.5
𝑅 = $30,000 ; 𝑖𝑝 = = 0.031666 ; 𝑛 = 8 𝑞𝑢𝑎𝑟𝑡𝑒𝑟𝑠
3
𝑛+1 −𝑛
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 ) 1 − (1 + 𝑖𝑝 )
: 𝑆𝑎⌉𝑛 = 𝑅 [ ] = 𝑅[ ]
𝑖𝑝 𝑖𝑝
1 − (1 + 0.031666)−8
⟹ 𝑆𝑎⌉𝑛 = 30,000 [ ]
0.031666
∴ 𝑆𝑎⌉𝑛 = $209, 118.5661
21. Is deposited $100,000 in a savings bank at an interest rate of 4.8%

compounded monthly. a) What will be the accumulated amount at compound interest
in a period of 9 months? b) Assuming that the savings bank lends that same money
10
with an annual interest rate of 30% compounded monthly, what would be the payment
that must be made after the same 9 months?
Data:
𝑅 = $100,000 ; 𝑖 = 4.8% ; 𝑛 = 30 ; 𝑝 = 9 𝑚𝑜𝑛𝑡ℎ𝑠

𝑛+1
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
: 𝑆𝑎⌉𝑛 = 𝑅 [ ]
𝑖𝑝
(1 + 0.048)30+1 − (1 + 0.048)
⟹ 𝑆𝑎⌉𝑛 = 100,000 [ ]
0.048
∴ 𝑆𝑎⌉𝑛 = $124 886.30
22. A bank loan of $1,500,000 is obtained for a term of one year and with interest
of 12% convertible quarterly. What is the amount that must be settled?
Data:
𝑅 = $1,500,000 ; 𝑖 = 12% ; 𝑛 = 12 ; 𝑝 = 12 𝑚𝑜𝑛𝑡ℎ𝑠

𝑛+1
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
: 𝑆𝑎⌉𝑛 = 𝑅 [ ]
𝑖𝑝
(1 + 0.012)12+1 − (1 + 0.012)
⟹ 𝑆𝑎⌉𝑛 = 1,500,000 [ ]
0.012
∴ 𝑆𝑎⌉𝑛 = $71 475.14
23. Is deposited $50,000 in a bank at an interest rate of 18% per year

compounded monthly. What will be the accumulated amount in 2 years?
Data:
𝑅 = $50,000 ; 𝑖 = 18% ; 𝑛 = 2 𝑦𝑒𝑎𝑟𝑠 ; 𝑝 = 12 𝑚𝑜𝑛𝑡ℎ𝑠

𝑛+1
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
: 𝑆𝑎⌉𝑛 = 𝑅 [ ]
𝑖𝑝
(1 + 0.018)2+1 − (1 + 0.018)
⟹ 𝑆𝑎⌉𝑛 = 50,000 [ ]
0.018
∴ 𝑆𝑎⌉𝑛 = $103 658 .10
11
24. Is deposited $350,000 in a savings bank at an interest rate of 4.8%

compounded monthly.
a) What will be the amount accrued at compound interest over a 5-month period?
b) Assuming that the savings bank lends that same money with an annual interest rate
of 40% compounded monthly, what would be the payment that must be made after the
same 9 months?
Data:
𝑅 = $350,000 ; 𝑖 = 4.8% ; 𝑛 = 5 𝑚𝑜𝑛𝑡ℎ𝑠 ; 𝑝 = 5 𝑚𝑜𝑛𝑡ℎ𝑠

𝑛+1
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
: 𝑆𝑎⌉𝑛 = 𝑅 [ ]
𝑖𝑝
(1 + 0.048)5+1 − (1 + 0.048)
⟹ 𝑆𝑎⌉𝑛 = 150,000 [ ]
0.048
∴ 𝑆𝑎⌉𝑛 = $865,165.6478
25. Albert buys a monitor on credit today for $32,125 and has to pay in 6 monthly
instalments in arrears. How much will he have to pay each month if he is charged
interest at 2.5% per month?
Data:
𝑆𝑎⌉𝑛 = $32, 125 ; 𝑛 = 6 ; 𝑖𝑝 = 2.5%
𝑛+1
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 ) 𝑖𝑝 𝑆𝑎⌉𝑛
: 𝑆𝑎⌉𝑛 = 𝑅 [ ]⟹𝑅=[ 𝑛+1 ]
𝑖𝑝 (1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
(0.025)(32125)
⟹𝑅=[ ]
(1 + 0.025)6+1 − (1 + 0.025)
∴ 𝑅 = $4906.505191
26. Robert Alameda has a debt of $21530 that he must amortize with a payment
of $250 in 4 months and then monthly payments of $500 to pay it off, starting in 7
months. If the interest rate at which the loan was contracted is 25.3% compounded
monthly, how many monthly payments will he have to make?
12
Data:
𝑖𝑝 = 25.3% ; 𝑆𝑎⌉𝑛 = $21, 530 ; 𝑅 = $500
𝑛+1
ln [(
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 ) 𝑅 ) + (1 + 𝑖𝑝 )]
: 𝑆𝑎⌉𝑛 = 𝑅[ ]⟹𝑛= { − 1}
(0.0253)(21530)
ln [( ) + (1 + 0.0253)]
500
⟹𝑛={ − 1}
ln(1 + 0.0253)
∴ 𝑛 = 29.97451056 𝑚𝑜𝑛𝑡ℎ𝑠
27. The cash value of a multipurpose washing machine is $35,000. Sonia can buy
it on credit by making 5 bimonthly payments, the first of which is due 7 months after
purchase. If the interest applied is 5.3% bimonthly, how much should Sonia's payments
amount to?
Data:
𝑆𝑎⌉𝑛 = $35,000 ; 𝑖𝑝 = 5.3% 𝑏𝑖𝑚𝑜𝑛𝑡𝑙𝑦 ; 𝑛 = 5 𝑏𝑖𝑚𝑜𝑛𝑡𝑙𝑦
𝑛+1
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 ) 𝑖𝑝 𝑆𝑎⌉𝑛
: 𝑆𝑎⌉𝑛 = 𝑅 [ ]⟹𝑅=[ 𝑛+1 ]
𝑖𝑝 (1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
(0.53)(35000)
⟹𝑅=[ ]
(1 + 0.53)5+1 − (1 + 0.53)
∴ 𝑅 = $1641.928018
28. On Black Friday, trips are offered to the public with the famous slogan "Buy
now, pay later". For this, Alberto buys a flight to Madrid, which he receives on March 3,
and must pay for it in 10 monthly instalments of $200 starting on January 1 of the
following year. Considering an interest rate of 40% per annum convertible monthly,
what is the cash value of the furniture?
Data:
𝑅 = $200 ; 𝑖𝑝 = 40% 𝑎𝑛𝑛𝑢𝑎𝑙 ; 𝑛 = 10

13
𝑛+1
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
: 𝑆𝑎⌉𝑛 = 𝑅 [ ]
𝑖𝑝
0.40 10+1 0.40

(1 + 10 ) − (1 + 10 )
⟹ 𝑆𝑎⌉𝑛 = 200 [ ]
0.40
10
∴ 𝑆𝑎⌉𝑛 = $2497.270282
14
II. LABORATORY #4
1. Sergio Campos today contracts a debt of $ 95,000 to 18% convertible semiannually
that will be amortized through 6 equal semiannual payments, R, the first of which is due
in 6 months. What is the value of R?
R1 R2 R6
$95000
1 … 5 6 7 … 11
Data:
0.18
𝑅 =? ; 𝐶 = 95000; 𝑖 = = 0.09; 𝑛 = 6
2
1 − (1 + 𝑖)−𝑛 𝐶𝑖
:𝐶 = 𝑅 ⟹𝑅=
𝑖 1 − (1 + 𝑖)−𝑛
(95000)(0.09)
⟹𝑅=
1 − (1 + 0.09)−6
∴ 𝑅 = $21177.36
2. A business gets a loan for $700,000 that must be paid off after 6 years. The
Board of Directors decides that equal annual reserves shall be made in order to pay
the debt when due. If the money in the fund can be invested in a way that yields 16%
interest, how much will need to be deposited in the fund to accumulate $700,000 after
6 years?
15
R1 R2 R6
…
$700,00
1 2 3 7 9
Data:
𝐶 = 700,000 ; 𝑖 = 0.16 ; 𝑛 = 6
1 − (1 + 𝑖)−𝑛 𝐶𝑖
:𝐶 = 𝑅 ⟹𝑅=
𝑖 1 − (1 + 𝑖)−𝑛
(700,000)(0.16)
⟹𝑅=
1 − (1 + 0.16)−6
∴ 𝑅 = $77972.91
3. A loan of $18,000 will be amortized through 6 equal monthly payments.

Calculate the monthly payment if the interest rate is 34% capitalizable annually.
$18,000 R1 R2 R6
1 2 3 … 7
Data:
0.34
𝐶 = 18,000 ; 𝑖 = ; 𝑛=6
12
16
1 − (1 + 𝑖)−𝑛 𝐶𝑖
:𝐶 = 𝑅 ⟹𝑅=
𝑖 1 − (1 + 𝑖)−𝑛
0.34
(18000) (
⟹𝑅= 12 )
0.34 −6
1 − (1 + 12 )
∴ 𝑅 = $3304.42
4. The useful life of an industrial equipment that has just been acquired by a
company is 5 years. In order to replace him at the end of this time, the company
establishes an amortization fund by making overdue annual deposits into a bank
account that pays 9.6% per annum. If equipment is estimated to cost $1,442,740,
calculate the annual deposit value.
$1,442,740 R1 R2 R5
1 … 5 6 7 … 10
Data:
𝐶 = 1442740 ; 𝑖 = 0.096 ; 𝑛 = 5
1 − (1 + 𝑖)−𝑛 𝐶𝑖
:𝐶 = 𝑅[ ]⟹𝑅=[ ]
𝑖 1 − (1 + 𝑖)−𝑛
(1,442,740)(0.096)
⟹𝑅=[ ]
1 − (1 + 0.096)−5
∴ 𝑅 = $238206.86
17
5. Find the payment that astronomer Silvia Torres must make for the purchase of
a portable electronic telescope today. He agrees with her creditor that after four months
she makes 12 payments at the end of each month of $50,950 at 23% annual interest,
convertible monthly.
$50,950 $50,950 $50, 950
1 2 3 4 5 … 15
Data:
𝑅 = $2, 800 ; 𝑖 = 26% ; 𝑚 = 3 ; 𝑛 = 12

−𝑛
1 − (1 + 𝑖𝑝 )
: 𝐴𝑛⌉ = R [ ]
𝑖𝑝
0.26 −12
1 − (1 + 3 )
⟹ 𝐴𝑛⌉ = 2, 800 [ ]
0.26
3
∴ 𝐴𝑛⌉ = $20,391.16277
6. Antonio buys a desktop computer by paying 6 successive monthly payments of

$4,100 each, paying the first monthly payment 3 months after the purchase. What is
the cash price of the computer if an interest rate of 33% is being charged, compounded
each month?
$4,100 $4,100 $4,100
1 2 3 4 … 8
18
Data:
0.33
𝑅 = $4,100; 𝑛 = 6; 𝑖 = %
12
−𝑛 0.33 −6
1 − (1 + 𝑖𝑝 ) 1 − (1 + 12 )
: 𝐴𝑛⌉ = 𝑅 [ ] ⟹ 𝐴𝑛⌉ = 4,100 [ ]
𝑖𝑝 0.33
( 12 )
∴ 𝐴𝑛⌉ = $22,395.70378
7. During this month, Mueblería El Portal offers the "Buy now and pay later"
promotion, which consists of paying the price of all merchandise in 8 monthly
installments, starting 4 months after the purchase. What will be the monthly payment
that Mrs. Arrieta will have to pay if she bought a washing machine for $6,520 and they
charge her a monthly interest of 4.54%, compounded each month?
$6,520 R1 R2
…
R8
1 2 3 4 5 11
Data:
3
𝐶 = $6,520; 𝑖 = 4.54%; 𝑝 = 12; 𝑛 =
12
𝑖 𝑛𝑝 0.0454 3
: 𝑀 = 𝐶 [1 + ( )] ⟹ 𝑀 = 6,520 [1 + ( )] ; ∴ 𝑀 = $6,594.282327
𝑝 12
Data:
0.0354
𝑖𝑝 = ; 𝑀 = 𝐴𝑛⌉ = $6,594.282327 ; 𝑛 = 8
12
−𝑛
1 − (1 + 𝑖𝑝 ) 𝑖𝑝 𝐴𝑛⌉
: 𝐴𝑛⌉ = 𝑅[ ]⟹𝑅=[ ]
𝑖𝑝 1 − (1 + 𝑖𝑝 )−𝑛
19
0.0454
( 12 ) (6,594.282327)
⟹𝑅=[ ]
0.0454 −8
1 − (1 + 12 )
∴ 𝑅 = $838.38057228.
8. Mr. Estrada must pay a debt of $75,000 as follows: 5 consecutive monthly

payments of $14,000, beginning 4 months from today, and a final payment in month
12. If the interest rate is 2.85 Monthly % compoundable each month, find the value of
the final payment.
R1 R2
$75,000 R
1 2 3 4 5 … 12
Data:
3
𝐶 = $75 000 ; 𝑖 = 2.85% ; 𝑝 = 12 ; 𝑛 =
12
3
𝑖 𝑛𝑝 0.0285 (12)(12)
: 𝑀 = 𝐶 [1 + ( )] ⟹ 𝑀 = 75000 [1 + ( )] ; ∴ 𝑀 = $75,535.64515
𝑝 12
𝑖𝑝 = 2.85% 𝑚𝑜𝑛𝑡ℎ𝑙𝑦 ; 𝑀 = 𝐴𝑛] = $75,535.64515 ; 𝑛=4
−𝑛
1 − (1 + 𝑖𝑝 ) 𝑖𝑝 𝐴𝑛]
: 𝐴𝑛] = 𝑅[ ]⟹𝑅=[ −𝑛 ]
𝑖𝑝 1 − (1 + 𝑖𝑝 )
(0.0285)(75535.64515 )
⟹𝑅=[ ] ; ∴ 𝑅 = $20,248.29068
1 − (1 + 0.0285)−4
9. Lizbet must pay a debt of $50,000 as follows: 6 consecutive monthly payments,

beginning 6 months from today, and a final payment in month 12. If the interest rate is
3.35 Monthly % compoundable each month, find the value of the payment.
$50,000 R1 R2 R6
20
1 … 5 6 7 … 12
𝑴
Data:
5
𝐶 = $50 000 ; 𝑖 = 3.35% ; 𝑝 = 12 ; 𝑛 =
12
5
𝑖 𝑛𝑝 0.0335 (12)(12)
: 𝑀 = 𝐶 [1 + ( )] ⟹ 𝑀 = 50000 [1 + ( )] ; ∴ 𝑀 = $50,701.82426
𝑝 12
𝑖𝑝 = 3.35% 𝑚𝑜𝑛𝑡ℎ𝑙𝑦 ; 𝑀 = 𝐴𝑛] = $50,701.82426 ; 𝑛=6
−𝑛
1 − (1 + 𝑖𝑝 ) 𝑖𝑝 𝐴𝑛]
: 𝐴𝑛] = 𝑅 [ ]⟹𝑅= −𝑛
𝑖𝑝 1 − (1 + 𝑖𝑝 )
(0.0335)(50,701.82426 )
⟹𝑅= ; ∴ 𝑅 = $9,468.290567
1 − (1 + 0.0335)−6
10. A debt of $8,000,000 is to be paid off through 18 quarterly payments of $A

each. If the first payment is made exactly one year after the money was borrowed,
calculate A with a rate of 32% CT.
$8,000,000 R1 R2 R6
1 … 11 12 13 … 21
𝐀 𝐧⌉
Data:
21
𝑟 0.32 3
𝐶 = $8,000,000 ; 𝑖 = = = 0.08 𝑞𝑢𝑎𝑟𝑡𝑒𝑟𝑙𝑦; 𝑝 = 4 ; 𝑛 =
𝑚 4 4
3
𝑖 𝑛𝑝 0.08 (4)(4)
: 𝑀 = 𝐶 [1 + ( )] ⟹ 𝑀 = 8,000,000 [1 + ( )] ; ∴ 𝑀 = $8,489,664
𝑝 4
−𝑛
1 − (1 + 𝑖𝑝 ) 𝑖𝑝 𝐴𝑛]
: 𝐴𝑛] = 𝑅[ ]⟹𝑅= −𝑛
𝑖𝑝 1 − (1 + 𝑖𝑝 )
(0.08)(8,489,664)
⟹𝑅= ; ∴ 𝑅 = $2,563,206.184
1 − (1 + 0.08)−4
1 − (1 + 0.08)−18
⟹ 𝐴𝑛] = 2,563,206.184 [ ] ; ∴ 𝐴𝑛] = $24,022,079.07
0.08
11. Mr. Fernando Valdez bought a mill on credit today for his business and his
creditor grants him a grace period of one year; However, he will make six semi-annual
payments of $54,800 for the purchase of the mill. If the interest is 8% per year,
convertible semi-annually, find the amount
$54,800
…
Price $54,800 $54,800
1 2 3 4 8
M
Data:
6
𝐶 = $54,800; 𝑖 = 0.02 𝑏𝑖𝑎𝑛𝑛𝑢𝑎𝑙; 𝑝 = 2 ; 𝑛 = 𝑠𝑒𝑚𝑒𝑠𝑡𝑒𝑟𝑠
2
6
𝑖 𝑛𝑝 0.02 (2)(2)
: 𝑀 = 𝐶 [1 + ( )] ⟹ 𝑀 = $54,800 [1 + ( )] ; ∴ 𝑀 = $352, 598.73
𝑝 2
12. Find the total payment that Mr. Héctor Serrano must make for the purchase
of a computer today, if after three months he makes 12 payments at the beginning of
each month of $999 with an annual interest of 28% convertible monthly
$999 $999
…
Price $999 22
1 2 3 4 12
Data:
12
𝐶 = $999; 𝑖 = 0.28 𝑎𝑛𝑛𝑢𝑎𝑙 ; 𝑝 = 12 ; 𝑛 = 𝑚𝑜𝑛𝑡ℎ𝑠
12
12
𝑛𝑝 0.28 (12)(12)
𝑖
: 𝑀 = 𝐶 [1 + ( )] ⟹ 𝑀 = $999 [1 + ( 12 )] ; ∴ 𝑀 = $13,971.20
𝑝 12
13. The cash value of a pool table is $22,000. It can be purchased on credit
through 6 bimonthly payments, the first of which is due 6 months after purchase. If the
interest charged is 4% bimonthly, how much should the payments be?
$22,000 R2 R3 R6
R1
1 2 3 4 5 … 9
Data:
𝑅 = $22,000 ; 𝑖𝑝 = 0.04 ; 𝑛 = 6
1 − (1 + 𝑖𝑝)−𝑛 1 − (1 + 0.04)−6
𝐴𝑛⌉ = 𝑅 [ ] ⟹ 𝐴𝑛⌉ = 22,000 [ ]
𝑖𝑝 0.04
∴ 𝐴𝑛⌉ = $115,327.0108
23
14. During this month, Mueblería El Portal offers the "Buy now and pay later"
promotion, which consists of paying the price of all merchandise in 8 monthly
installments, starting 4 months after the purchase. What will be the monthly payment
that Mrs. Arrieta will have to pay if she bought a washing machine for $5,520 and they
$5,520 𝑅1 𝑅2 𝑅3 𝑅8
1 … 3 4 5 6 … 11
charge her a monthly interest of 3.54%, capitalized each month?
Data:
𝑅 = $5,520 ; 𝑖𝑝 = 0.0354 ; 𝑛 = 8
−𝑛
1 − (1 + 𝑖𝑝 ) 1 − (1 + 0.0354)−8
𝐴𝑛⌉ = 𝑅[ ] ⟹ 𝐴𝑛⌉ = 5,520 [ ]
𝑖𝑝 0.0354
∴ 𝐴𝑛⌉ = $37,880.96956
15. What is the cash price of a bedroom that is paid with a down payment of
$3,500 on the day of purchase, 24 weekly bonuses of $325 and weekly nominal interest
of 23.26%?
$3,50 $325 $325 $325

0
1 … 3 4 … 24
𝐶
24
Data:
23.23
𝑀 = $3,500 ; 𝑅 = $325 ; 𝑖 = = 0.004473 ; 𝑛 = 24
24 𝑤𝑒𝑒𝑘𝑙𝑦 𝑏𝑜𝑛𝑢𝑠𝑒𝑠
1 − (1 + 𝑖)−𝑛
: 𝐴𝑛⌉ = 𝑅 [ ]
𝑖
1 − (1 + 0.04473)−24
⟹ 𝐴𝑛⌉ = 325 [ ] ; ∴ 𝐴𝑛⌉ = 4723.750777
0.04473
16. Find the present value of an income of $25,000 each quarter for 5 years if the
first quarterly payment is made 2 years from now and the interest rate is 3.35%
quarterly compounded quarterly.
Price $25,000 $25,000 $25,000
1 2 3 … 20
Data:
𝑅 = $25,000 ; 𝑖𝑝 = 0.0335 ; 𝑛 = 20
−𝑛
1 − (1 + 𝑖𝑝 )
𝐴𝑛⌉ = 𝑅 [ ]
𝑖(1 + 𝑖𝑝 )
1 − (1 + 0.0335)−20
⟹ 𝐴𝑛⌉ = 25,000 [ ]
0.0335(1 + 0.0335)
∴ 𝐴𝑛⌉ = $285,987.9877
17. David Shaw today contracts a debt of $ 70,000 to 12% convertible

semiannually that will be amortized through 6 equal semiannual payments, R, the first
of which is due in 6 months. What is the value of R?
R1 R2 R6
$70,00 25
… …
0
1 5 6 7 11
Data:
0.12
𝑅 =? ; 𝐶 = 70000; 𝑖 = = 0.06; 𝑝 = 2; 𝑛 = 6
2
𝑖 𝑛𝑝 0.12 (6)(2)
: 𝑀 = 𝐶 [1 + ( )] ⟹ 𝑀 = 70,000 [1 + ( )] ; ∴ 𝑀 = $8,489,664
𝑝 2
−𝑛
1 − (1 + 𝑖𝑝 ) 𝑖𝑝 𝐴𝑛]
: 𝐴𝑛] = 𝑅[ ]⟹𝑅= −𝑛
𝑖𝑝 1 − (1 + 𝑖𝑝 )
(0.06)(8,489,664)
⟹𝑅= ; ∴ 𝑅 = $1,726,480.386
1 − (1 + 0.06)−6
18. A loan of $20,000 will be amortized through 7 equal monthly payments.

Calculate the monthly payment if the interest rate is 26% capitalizable annually.
R1 R2 R7
…
$20,000
1 2 7
Data:
0.26
𝐴𝑛] = 20,000; 𝑖 = ; 𝑛=7
12
−𝑛
1 − (1 + 𝑖𝑝 ) 𝑖𝑝 𝐴𝑛]
: 𝐴𝑛] = 𝑅[ ]⟹𝑅= −𝑛
𝑖𝑝 1 − (1 + 𝑖𝑝 )
0.26
( 12 ) (20000 )
⟹𝑅= ; ∴ 𝑅 = $311.0067657
0.26 −7
1 − [1 + ( 12 )]
26
19. A corporation obtains a loan of $850000 to be repaid after 10 years. The

corporation decides that equal annual reserves should be set aside to repay the debt.
If the money in the fund can be invested in a way that yields 10% interest, how much
will have to be deposited in the fund to accumulate $850,000.00 after 10 years?
R1 R2 R10
…
$850,000
1 2 3 11
Data:
𝐴𝑛] = 850000; 𝑖 = 0.10; 𝑛 = 10
−𝑛
1 − (1 + 𝑖𝑝 ) 𝑖𝑝 𝐴𝑛]
: 𝐴𝑛] = 𝑅[ ]⟹𝑅= −𝑛
𝑖𝑝 1 − (1 + 𝑖𝑝 )
(0.10)(850000)
⟹𝑅= ; ∴ 𝑅 = $138,333.5857
1 − (1 + 0.10)−10
20. The mode of use of architectural equipment just acquired by a corporate is 3

years. The company establishes a sinking fund by making annual deposits due in a
bank account that pays 5.3% per annum. If the equipment is estimated to cost
$2,375,425; calculate the value of the annual deposit.
R6
$2,375,425 R1 R2
1 2 3
27
Data:
𝐴𝑛] = 2375425; 𝑖 = 0.053; 𝑛 = 3
−𝑛
1 − (1 + 𝑖𝑝 ) 𝑖𝑝 𝐴𝑛]
: 𝐴𝑛] = 𝑅[ ]⟹𝑅= −𝑛
𝑖𝑝 1 − (1 + 𝑖𝑝 )
(0.053)(2375425)
⟹𝑅= ; ∴ 𝑅 = $877,184.2093
1 − (1 + 0.053)−3
21. The journalist Ulises Gutiérrez buys a dining room with an initial payment of
$5,000 and eight monthly payments of $4,800 each, paying the first monthly payment
four months after the purchase; In addition, they charge 19.56% annual interest
compounded monthly. Find the price of the equipment.
Price=? R1 R2 R8
1 … 4 5 … 12
Data:
𝐼𝑛𝑖𝑡𝑖𝑎𝑙 𝑃𝑎𝑦𝑚𝑒𝑛𝑡 = $5, 000 ; 𝑅 = $4, 800 ; 𝑚 = 12 ; 𝑛 = 8 𝑝𝑎𝑦𝑚𝑒𝑛𝑡𝑠 ; 𝑖 = 19.56 %

19.56
𝑖𝑝 = 𝑚𝑜𝑛𝑡ℎ𝑙𝑦
12
−8
0.1956
−𝑛 1 − (1 + ( 12 ))
1 − (1 + 𝑖𝑝 )
: 𝐴𝑛⌉ = 𝑅[ ] ; ⇒ 𝐴𝑛⌉ = 4 800 ;
𝑖𝑝 0.1956
( 12 )
[ ]
∴ 𝐴𝑛⌉ = $35, 729.79672
𝑖 𝑛𝑝 𝑀 35 729.79672
∶ 𝑀 = 𝐶 [1 + ( )] ⇒ 𝐶 = 𝑛𝑝 ; ⇒ 𝐶 = 3 ;
𝑝 𝑖 0.1956
[1 + (𝑝)] [1 + ( 12 )]
∴ 𝐶 = $34, 038.05758
: 𝑃𝑟𝑖𝑐𝑒 = 𝐼𝑛𝑖𝑡𝑖𝑎𝑙 𝑃𝑎𝑦𝑚𝑒𝑛𝑡 + 𝐶 ; ⇒ 𝑃𝑟𝑖𝑐𝑒 = 5 000 + 34 038.05758
∴ 𝑃𝑟𝑖𝑐𝑒 = $39, 038.05758
22. Mr. Darío Velásquez buys a built-in kitchen that has a cash price of $47,550,
but he decides to make six monthly payments, the first must be made five months after
28
the purchase and the interest is 1.5% per month. How much will the monthly payments
be?
R1 R2 R8
Price=?
1 … 5 6 … 12
Data:
4
𝐶 = $47, 550 ; 𝑖 = 1.5 % 𝑚𝑜𝑛𝑡ℎ𝑙𝑦 ; 𝑛 = ; 𝑝 = 12 𝑚𝑜𝑛𝑡ℎ𝑠
12
4
𝑖 𝑛𝑝 0.015 (12)(12)
: 𝑀 = 𝐶 [1 + ( )] ; ⇒ 𝑀 = 47 550 [1 + ( )] ; ∴ 𝑀 = $47, 788.19615
𝑝 12
Data:
𝐴𝑛⌉ = $47, 788.19615 ; 𝑖 = 1.5 % 𝑚𝑜𝑛𝑡ℎ𝑙𝑦 ; 𝑛 = 6 ; 𝑝 = 12 𝑚𝑜𝑛𝑡ℎ𝑠

0.015
𝑖𝑝 𝐴𝑛⌉ ( 12 ) (47 788.19615)
:𝑅 = −𝑛 ; ⇒ 𝑅 = ; ∴ 𝑅 = $7, 999.581193
1 − (1 + 𝑖𝑝 ) 0.015 −6
1 − [1 + ( )]
12
23. The owner of the Al Estilo Nayarita seafood restaurant today deposits
$100,000 in an investment account that pays 12% annually, compounded bimonthly,
within eight bimonthly periods he will begin to make bimonthly withdrawals due until
completing 24. How much will these withdrawals be?
R1 R2
Price=? R 24
1 … 8 9 … 31
29
Data:
7
𝐶 = $100, 000 ; 𝑖 = 12 % 𝑎𝑛𝑛𝑢𝑎𝑙 ; 𝑛 = ; 𝑝 = 6 𝑏𝑖𝑚𝑒𝑠𝑡𝑒𝑟𝑠
6
7
𝑖 𝑛𝑝 0.12 (6)(6)
: 𝑀 = 𝐶 [1 + ( )] ; ⇒ 𝑀 = 100 000 [1 + ( )] ; ∴ 𝑀 = $114, 868.5668
𝑝 6
Data:
𝐴𝑛⌉ = $114, 868.5668 ; 𝑖 = 12 % 𝑎𝑛𝑛𝑢𝑎𝑙 ; 𝑛 = 24 ; 𝑝 = 6 𝑏𝑖𝑚𝑒𝑠𝑡𝑒𝑟𝑠

0.12
𝑖𝑝 𝐴𝑛⌉ ( 6 ) (114 868.5668)
:𝑅 = −𝑛 ; ⇒ 𝑅 = ; ∴ 𝑅 = $6, 073.227167
1 − (1 + 𝑖𝑝 ) 0.12 −24
1 − [1 + ( 6 )]
24. For its anniversary, the Hermanos Velásquez, S.A. furniture store offers a
dining room for eight people with a cash value of $43,550, but it can also be
purchased through six monthly payments, the first of which must be made within five
months after the purchase with an interest of 2.25% per month. How much will the
monthly payment be?
…
R1 R2 R9
Price=?
1 5 6 … 13
Data:
4
𝐶 = $43, 550 ; 𝑖 = 2.25 % 𝑚𝑜𝑛𝑡ℎ𝑙𝑦 ; 𝑛 = ; 𝑝 = 12 𝑚𝑜𝑛𝑡ℎ𝑠
12
4
𝑖 𝑛𝑝 0.0225 (12)(12)
: 𝑀 = 𝐶 [1 + ( )] ; ⇒ 𝑀 = 43 550 [1 + ( )] ; ∴ 𝑀 = $43, 877.54478
𝑝 12
Data:
𝐴𝑛⌉ = $43, 877.54478 ; 𝑖 = 2.25 % 𝑚𝑜𝑛𝑡ℎ𝑙𝑦 ; 𝑛 = 6 ; 𝑝 = 12 𝑚𝑜𝑛𝑡ℎ𝑠
30
0.0225
𝑖𝑝 𝐴𝑛⌉ ( ) (43, 877.54478)
:𝑅 = 12
−𝑛 ; ⇒ 𝑅 = ; ∴ 𝑅 = $7, 360.99011
1 − (1 + 𝑖𝑝 ) 0.0225 −6
1 − [1 + ( 12 )]
25. In October, a store offers the public a "Buy Now, Pay Later" sales plan. With
this plan, the architect Servín acquires a desk, which he receives on November 1, and
which must pay in 12 monthly installments of $180 beginning January 1 of the following
year. If it is considered an interest of 36% per year convertible monthly, what is the
cash value of the piece of furniture?
$180 $180 $180 $180
1 2 3 4 5 … 12
Data:
𝑅 = $180; 𝑖𝑝 = 36% 𝑎𝑛𝑛𝑢𝑎𝑙; 𝑛 = 12
−𝑛
1 − (1 + 𝑖𝑝 )
: 𝐴𝑛⌉ = R [ ]
𝑖𝑝
1 − (1 + 0.36)−12
⟹ 𝐴𝑛⌉ = 180 [ ]
0.36
∴ 𝐴𝑛⌉ = $282616.03
26. Calculate the present value of a semi-annual rent of $4,300 for 7 years, if the
first semi-annual payment is made in 3 years and the interest is 17% semi-annual.
$4 300 $4 300 $4 300 $4 300 $4 300

Today
1 2 … 6 7 17 … 18 19
31
Data:
𝑅 = $4300; 𝑖𝑝 = 17%; 𝑛 = 3
−𝑛
1 − (1 + 𝑖𝑝 )
: = 𝐴𝑛⌉ = 𝑅[ ]
𝑖𝑝
1 − (1 + 0.17)−3
⟹ 𝐴𝑛⌉ = 4300 [ ]
0.17
∴ 𝐴𝑛⌉ = $10,256.1054
27. Calculate the amount of a semi-annual rent of $6,000 for 7 years, if the first
semi-annual payment is made within 3 years and the interest is 17% semi-annual.
$6 000
$6 000 $6 000
1 2 … 5 6 7 … 12
Data:
𝑅 = 6 000; 𝑖𝑝 = 17% ; 𝑛 = 3
−𝑛
1 − (1 + 𝑖𝑝 )
: 𝐴𝑛⌉ = R[ ]
𝑖𝑝
1 − (1 + 0.17)−3
⟹ 𝐴𝑛⌉ = 6,000 [ ]
0.17
∴ 𝐴𝑛⌉ = $282616.03
28. On January 12, a person agrees to pay off his debt in 8 monthly payments of
$3,500, the first of which must be done on July 12 of the same year. If after making the
fifth payment he misses two payments, what single amount will he have to pay when
the last payment is due? originally agreed to fully pay off your debt, if the interest is
21.60% with monthly compounding?
32
$3 500 $3 500 $3 500 $3 500 $3 500
1 2 … 4 5 6 7 … 8 9
Data:
𝑅 = $3500; 𝑖𝑝 = 21.60%; 𝑛 = 8
−𝑛
1 − (1 + 𝑖𝑝 )
: 𝐴𝑛⌉ = R[ ]
𝑖𝑝
1 − (1 + 21.60)−8
⟹ 𝐴𝑛⌉ = 3,500 [ ]
21.60
∴ 𝐴𝑛⌉ = $282616.03
33
III. AMORTIZATION OF LOANS IN PESOS AND IN UDIS I

5. Consider a mortgage credit for $799,303 to be paid in 4 ordinary annual payments,
which pays a real interest rate of 5.73% per year.
a) Determine the nominal interest rate of the loan in each year.

b) Obtain the value of the payment, i.e., the value of R in pesos.
c) Convert the loan of pesos to UDIS, for which you consider that at the time of
starting the loan, the value of the UDI is equal to $9.52 per UDI.
d) Calculate the value of the payment, R, in UDIS.
e) Determine the evolution of the value of the UDIs and the inflation rate based
on the following information and the one already stipulated above?
n INPC
0 107.2000000000000
1 108.3792000000000
2 109.5713712000000
3 110.7766562832000
4 111.9951995023150
f) Calculate the payment in pesos to be made each year by the agent who took
the loan in UDIS. (Must consider information indicated above)
g) Check that both types of credit - in pesos and in UDIS- are equivalent from
the point of view of the value of money over time considering the nominal interest
rate of subsection (a).
Data:
𝑟 = 5.73% ; 𝜋 =; 𝐴𝑛 = $799,303 ; 𝑛 = 4
𝐼𝑁𝑃𝐶𝑡 108.3792
⟹ 𝜋 = [( ) − 1] [100] ⟹ [( ) − 1] [100]; ∴= 1.1%
𝐼𝑁𝑃𝐶𝑡−1 107.2
1°
𝑖−𝜋
⟹𝑟= ⟹ 𝑖 − 𝜋 = 𝑟(1 + 𝜋) ⟹; ∴ 𝑖 = 𝑟(1 + 𝜋) + 𝜋
1+𝜋
⟹ 𝑖 = 0.0573(1 + 0.011) + 0.011 = 0.0689303%
34
𝑖. 𝑒. ; 𝑖 = 6.89303%
2°
−𝑛
1 − (1 + 𝑖𝑝 ) 𝑖𝑝 𝐴𝑛⌉
: 𝐴𝑛⌉ =𝑅 𝑅= −𝑛
𝑖𝑝 1 − (1 + 𝑖𝑝 )
𝑖
𝑖𝑝 = ⟺ 𝑚 = 1 ⟹ 𝑖𝑝 = −⟹ 𝑖𝑝 = 6.89303%
𝑚
𝐴𝑛⌉ = $799,303 ; 𝑛 = 4
(0.0689303)(799,303)
⟹𝑅=
1 − (1 + 0.0689303)−4
∴ 𝑅 = $235,407.1254
3°
𝐴𝑛⌉
: 𝐴𝑛⌉,𝑈𝐷𝐼 =
$𝑏𝑦 𝑈𝐷𝐼
799,303
⟹ 𝐴𝑛⌉,𝑈𝐷𝐼 =
9.52
∴ 𝐴𝑛⌉,𝑈𝐷𝐼 = 83,960.39916𝑈𝐷𝐼𝑆
Data:
𝐴𝑛⌉,𝑈𝐷𝐼 = 83,960.39916𝑈𝐷𝐼𝑆 ; 𝑟𝑈𝐷𝐼 = 5.73% ; 𝑛 = 4

𝑟𝑈𝐷𝐼 𝐴𝑛⌉,𝑈𝐷𝐼
: 𝑅𝑈𝐷𝐼 =
1 − (1 + 𝑟𝑈𝐷𝐼 )−𝑛
(0.0573)(83,960.39916)
⟹ 𝑅𝑈𝐷𝐼 =
1 − (1 + 0.0573)−4
∴ 𝑅𝑈𝐷𝐼 = 24,080.62605𝑈𝐷𝐼𝑆
n INPC Rate of inflation UDI Value

0 107.2000000 … 𝑉𝑈𝐷𝐼,0 = $9.52
000
35
1 108.3792000 108.3792 𝑉𝑈𝐷𝐼,1 = (1 + 0.011)(9.52)

𝜋1 = (
000 107.2
= $9.62472
− 1) 100
= 1.1%
2 109.5713712 109.5713712 𝑉𝑈𝐷𝐼,2 = (1 + 0.011)(9.62472)
𝜋2 = (
000 108.3792
= $9.73059192
− 1) 100
= 1.1%
3 110.7766562 110.7766562832 𝑉𝑈𝐷𝐼,3
𝜋3 = (
832 109.5713712
= (1 + 0.011)(9.73059192)
− 1) 100 = $9.837628431
= 1.1%
4 111.9951995 𝜋3 𝑉𝑈𝐷𝐼,4
023150 111.995199502315 = (1 + 0.011)(9.837628431)
=(
110.7766562832
= $9.945842344
− 1) 100 = 1.1%
N Payment in UDI Value Payment in pesos

UDIS
1 24,080.62605 𝑉𝑈𝐷𝐼,1 = 9.62472 𝑉𝑈𝐷𝐼,1
= (24,080.62605)(9.62472)
= $231,769.2832
2 24,080.62605 𝑉𝑈𝐷𝐼,2 = 9.73059192 𝑉𝑈𝐷𝐼,2
= (24,080.62605)(9.73059192)
= $234,318.7453
3 24,080.62605 𝑉𝑈𝐷𝐼,3 = 9.837628431 𝑉𝑈𝐷𝐼,3
= (24,080.62605)(9.837628431)
= $236,896.2515
36
4 24,080.62605 𝑉𝑈𝐷𝐼,4 = 9.945842344 𝑉𝑈𝐷𝐼,4

= (24,080.62605)(9.945842344)
= $239,502.1102
4°
𝑅1 𝑅2 𝑅3 𝑅𝑛−1 𝑅𝑛
: 𝐴𝑛⌉ = + 2+ 3 + ⋯+ 𝑛−1 + 𝑛
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )
235,407.1254 235,407.1254 235,407.1254
⟹ 𝐴𝑛⌉ = 1
+ 2
+
(1 + 0.0689303) (1 + 0.0689303) (1 + 0.0689303)3
235,407.1254
+
(1 + 0.0689303)4
⟹ 𝐴𝑛⌉ = 220,226.8243 + 206,025.4297 + 192,739.8163 + 180,310.9298
∴ 𝐴𝑛⌉ = $799,303
Credit in UDIS:
: 𝐴𝑛⌉ = + 2+ 3 + ⋯+ 𝑛−1 + 𝑛
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )
231,769.2832 234,318.7453 236,896.2515
⟹ 𝐴𝑛⌉ = 1
+ 2
+
(1 + 0.0689303) (1 + 0.0689303) (1 + 0.0689303)3
239,502.1102
+
(1 + 0.0689303)4
⟹ 𝐴𝑛⌉ = 216,823.5695 + 205,072.8927 + 193,959.0398 + 183,447.4981
∴ 𝐴𝑛⌉ = $799,303
6. Consider a mortgage credit for $13,759,111.00 to be paid in 6 ordinary annual

payments, which pays a real interest rate of 11.97% per year.

c) Convert the loan & pesos to UDIS, for which you consider that at the time of
37
e) Determine the evolution of the value of the UDIS and the inflation rate based
on the following information and the one already stipulated above:
n INPC
0 111.01000000000000
1 117.77050900000000
2 124.94273299810000
3 132.55174543768400
4 140.62414673483900
5 149.18815727099100
6 158.27371604879400
f) Calculate the payment in pesos to he made each year by the agent who took
g) Check that both types of credit -in pesos and in UDIS- are equivalent from the
point of view of the value of money over time considering the nominal interest
Data:
𝑟 = 11.97% ; 𝜋 =; 𝐴𝑛 = $13,759,111 ; 𝑛 = 6
𝐼𝑁𝑃𝐶𝑡 117.770509
⟹ 𝜋 = [( ) − 1] [100] ⟹ [( ) − 1] [100]; ∴= 6.09%
𝐼𝑁𝑃𝐶𝑡−1 111.01
1°
𝑖−𝜋
⟹𝑟= ⟹ 𝑖 − 𝜋 = 𝑟(1 + 𝜋) ⟹; ∴ 𝑖 = 𝑟(1 + 𝜋) + 𝜋
1+𝜋
⟹ 𝑖 = 0.1197(1 + 0.0609) + 0.0609 = 0.18788973
𝑖. 𝑒. ; 𝑖 = 18.788973%
2°
−𝑛
1 − (1 + 𝑖𝑝 ) 𝑖𝑝 𝐴𝑛⌉
: 𝐴𝑛⌉ =𝑅 𝑅= −𝑛
𝑖𝑝 1 − (1 + 𝑖𝑝 )
38
𝑖
𝑖𝑝 = ⟺ 𝑚 = 1 ⟹ 𝑖𝑝 = −⟹ 𝑖𝑝 = 18.788973%
𝑚
𝐴𝑛⌉ = $13,759,111 ; 𝑛 = 6
(0.18788973)(13,759,111)
⟹𝑅=
1 − (1 + 0.18788973)−6
∴ 𝑅 = $4,013,733.582
3°
𝐴𝑛⌉
13,759,111
5.15
∴ 𝐴𝑛⌉,𝑈𝐷𝐼 = 2,671,672.039 𝑈𝐷𝐼𝑆
Data:
: 𝐴𝑛⌉,𝑈𝐷𝐼 = 2,671,672.039 𝑈𝐷𝐼𝑆 ; 𝑟𝑈𝐷𝐼 = 11.97% ; 𝑛 = 6

1 − (1 + 𝑟𝑈𝐷𝐼 )−𝑛
(0.1197)(2,671,672.039)
1 − (1 + 0.1197)−6
∴ 𝑅𝑈𝐷𝐼 = 649,267.3227 𝑈𝐷𝐼𝑆

0 111.010000000000 … 𝑉𝑈𝐷𝐼,0 =
1 117.770509000000 117.770509 𝑉𝑈𝐷𝐼,1
𝜋1 = (
111.01
= (1 + 0.0609)(5.15)
− 1) 100 = $5.463635
= 6.09%
2 124.942732998100 124.9427329981 𝑉𝑈𝐷𝐼,2
𝜋2 = (
117.770509
= (1
− 1) 100 + 0.0609)(5.463635)
= 6.09% = $5.796370372
39
3 132.551745437684 132.551745437684 𝑉𝑈𝐷𝐼,3

𝜋3 = (
124.9427329981
= (1
− 1) 100 + 0.0609)(5.796370372)
= 6.09% = $6.149369328
4 140.624146734839 140.624146734839 𝑉𝑈𝐷𝐼,4

𝜋4 = (
132.551745437684
= (1
− 1) 100 + 0.0609)(6.149369328)
= 6.09% = $6.52386592
5 149.188157270991 149.188157270991 𝑉𝑈𝐷𝐼,5

𝜋5 = (
140.624146734839
= (1
− 1) 100 + 0.0609)(6.52386592)
= 6.09% = $6.921169355
6 158.273716048794 158.273716048794 𝑉𝑈𝐷𝐼,6

𝜋6 = (
149.188157270991
= (1
− 1) 100 + 0.0609)(6.921169355)
= 6.09% = $7.342668569
N Payment in UDI Value Payment in pesos

UDIS
1 649,267.3227 𝑉𝑈𝐷𝐼,1 = 5.463635 𝑉𝑈𝐷𝐼,1
= (649,267.3227)(5.463635)
= $3,547,359.669
2 649,267.3227 𝑉𝑈𝐷𝐼,2 = 5.796370372 𝑉𝑈𝐷𝐼,2
= (649,267.3227)(5.796370372)
= $3,763,393.873
3 649,267.3227 𝑉𝑈𝐷𝐼,3 = 6.149369328 𝑉𝑈𝐷𝐼,3
= (649,267.3227)(6.149369328)
= $3,992,584.56
40
4 649,267.3227 𝑉𝑈𝐷𝐼,4 = 6.52386592 𝑉𝑈𝐷𝐼,4

= (649,267.3227)(6.52386592)
= $4,235,732.96
5 649,267.3227 𝑉𝑈𝐷𝐼,5 = 6.921169355 𝑉𝑈𝐷𝐼,5
= (649,267.3227)(6.921169355)
= $4,493,689.097
6 649,267.3227 𝑉𝑈𝐷𝐼,6 = 7.342668569 𝑉𝑈𝐷𝐼,6
= (649,267.3227)(7.342668569)
= $4,767,354.763
4°
: 𝐴𝑛⌉ = + 2 + 3 + ⋯+ 𝑛−1 + 𝑛
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )
4,013,733.582 4,013,733.582 4,013,733.582
⟹ 𝐴𝑛⌉ = + +
(1 + 0.18788973)1 (1 + 0.18788973)2 (1 + 0.18788973)3
4,013,733.582 4,013,733.582 4,013,733.582
+ + +
(1 + 0.18788973)4 (1 + 0.18788973)5 (1 + 0.18788973)6
⟹ 𝐴𝑛⌉ = 3,378,877.248 + 2,844,436.788 + 2,394,529.321 + 2,015,784.176
+ 1,696,945.537 + 1,428537.931
∴ 𝐴𝑛⌉ = $13,759,111
Credit in UDIS:
: 𝐴𝑛⌉ = + 2 + 3 + ⋯+ 𝑛−1 + 𝑛
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )
3,547,359.669 3,763,393.873 3,992,584.56
⟹ 𝐴𝑛⌉ = + +
(1 + 0.18788973)1 (1 + 0.18788973)2 (1 + 0.18788973)3
4,235,732.96 4,493,689.097 4,767,354.763
+ 4
+ 5
+
(1 + 0.18788973) (1 + 0.18788973) (1 + 0.18788973)6
⟹ 𝐴𝑛⌉ = 2,986,270.173 + 2,667,027.036 + 2,381,912.152 + 2,127,277.085
+ 1,899,863.432 + 1,696,761.125
∴ 𝐴𝑛⌉ = $13,759,111
41
7. Consider a mortgage credit for $31,753,913 to be paid in 6 ordinary annual


e) Determine the evolution of the value of the UDIs and the inflation rate based on
the following information and the one already stipulated above?
n INPC
0 109.060000000000
1 118.940836000000
2 129.716875741600
3 141.469224683789
4 154.286336440140
5 168.264678521617
6 183.509458395675
f) Calculate the payment in pesos to be made each year by the agent who took the
loan in UDIS. (Must consider information indicated above)
g) Check that both types of credit - in pesos and in UDIS- are equivalent from the
point of view of the value of money over time considering the nominal interest rate
of subsection (a).
Data:
𝑟 = 0.0933 ; 𝜋 = 0.0906 ; 𝐴𝑛⌉ = $31,753,913 ; 𝑛 = 6 ; 𝑖 =
𝐼𝑁𝑃𝐶𝑡 118.940836000000
⟹ 𝜋 = [( ) − 1] (100) ⟹ [( ) − 1] (100); ∴= 9.06%
𝐼𝑁𝑃𝐶𝑡−1 109.060000000000
1°
42
𝑖−𝜋
⟹𝑟= ⟹ 𝑖 − 𝜋 = 𝑟(1 + 𝜋) ⟹; ∴ 𝑖 = 𝑟(1 + 𝜋) + 𝜋
1+𝜋
⟹ 𝑖 = 0.0933(1 + 0.0906) + 0.0906
∴ 𝑖 = 0.19235298
𝑖. 𝑒. : 𝑖 = 19.235298%
2°
𝑖𝑝 𝐴𝑛⌉ 𝑖𝑝 𝐴𝑛⌉
:𝑅 = −𝑛 ⟹𝑅= −𝑛
1 − (1 + 𝑖𝑝 ) 1 − (1 + 𝑖𝑝 )
𝑖
𝑖𝑝 = ⟺ 𝑚 = 1 ⟹ 𝑖𝑝 = −⟹ 𝑖𝑝 = 19.235298%
𝑚
𝐴𝑛⌉ = $31,753,913
𝑛=6
(0.19235298)(31,753,913)
⟹𝑅=
1 − (1 + 0.19235298)−6
∴ 𝑅 = $9,367,941.018
3°
𝐴𝑛⌉
31,753,913
12.02
∴ 𝐴𝑛⌉,𝑈𝐷𝐼 = 2, 641,756.489 𝑈𝐷𝐼𝑆
: 𝐴𝑛⌉,𝑈𝐷𝐼 = 2, 641,756.489 𝑈𝐷𝐼𝑆 ; 𝑟𝑈𝐷𝐼 = 9.33% ; 𝑛 = 6

1 − (1 + 𝑟𝑈𝐷𝐼 )−𝑛
(0.0933)(2, 641,756.489)
1 − (1 + 0.0933)−6
∴ 𝑅𝑈𝐷𝐼 = 594,705.8056 𝑈𝐷𝐼𝑆

0 109.060000000000 … 𝑉𝑈𝐷𝐼,0 = 12.02
43
1 118.940836000000 118.940836000000 𝑉𝑈𝐷𝐼,1

𝜋1 = [( ) − 1] (100)
109.060000000000
= 9.06% = (1 + 0.0906)(12.02)
= $13.109012
2 129.716875741600 129.716875741600 𝑉𝑈𝐷𝐼,2

𝜋2 = [( ) − 1] (100)
118.940836000000
= 9.06% = (1
+ 0.0906)(13.109012)
= $14.29668849
3 141.469224683789 141.469224683789 𝑉𝑈𝐷𝐼,3

𝜋3 = [( ) − 1] (100)
129.716875741600
= 9.06% = (1
+ 0.0906)(14.29668849)
= $15.59196847
4 154.286336440140 154.286336440140 𝑉𝑈𝐷𝐼,4

𝜋4 = [( ) − 1] (100)
141.469224683789
= 9.06% = (1
+ 0.0906)(15.59196847)
= $17.00460081
5 168.264678521617 168.264678521617 𝑉𝑈𝐷𝐼,5

𝜋5 = [( ) − 1] (100)
154.286336440140
= 9.06% = (1
+ 0.0906)(17.00460081)
= $18.54521764
6 183.509458395675 183.509458395675 𝑉𝑈𝐷𝐼,6

𝜋6 = [( ) − 1] (100)
168.264678521617
= 9.06% = (1
+ 0.0906)(18.54521764)
= $20.22541436
N Payment in UDIS UDI Value Payment in pesos

1 594,705.8056 𝑉𝑈𝐷𝐼,1 = 13.109012 𝑈𝐷𝐼𝑆 𝑉𝑈𝐷𝐼,1
= $7,796,005.542
2 594,705.8056 𝑉𝑈𝐷𝐼,2 = 14.29668849 𝑈𝐷𝐼𝑆 𝑉𝑈𝐷𝐼,2
= $8,502,323.646
3 594,705.8056 𝑉𝑈𝐷𝐼,3 = 15.59196847 𝑈𝐷𝐼𝑆 𝑉𝑈𝐷𝐼,3
= $9,272,634.17
44
4 594,705.8056 𝑉𝑈𝐷𝐼,4 = 17.00460081 𝑈𝐷𝐼𝑆 𝑉𝑈𝐷𝐼,4

= $10,112,734.82
5 594,705.8056 𝑉𝑈𝐷𝐼,5 = 18.54521764 𝑈𝐷𝐼𝑆 𝑉𝑈𝐷𝐼,5
= $11,028,948.6
6 594,705.8056 𝑉𝑈𝐷𝐼,6 = 20.22541436 𝑈𝐷𝐼𝑆 𝑉𝑈𝐷𝐼,6
= $12,028,171.34
4°
: 𝐴𝑛⌉ = + 2 + 3 + ⋯+ 𝑛−1 + 𝑛
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )
9,367,941.018 9,367,941.018 9,367,941.018
⟹ 𝐴𝑛⌉ = + +
(1 + 0.19235298)1 (1 + 0.19235298)2 (1 + 0.19235298)3
9,367,941.018 9,367,941.018 9,367,941.018
+ + +
(1 + 0.19235298)4 (1 + 0.19235298)5 (1 + 0.19235298)6
⟹ 𝐴𝑛⌉ = 7,856,684.367 + 6,589,226.931 + 5,526,238.489 + 4,634,733.659
+ 3,887,048.329 + 3,259,981.226
∴ 𝐴𝑛⌉ = $31,753,913
Credit in UDIS:
: 𝐴𝑛⌉ = + 2 + 3 + ⋯+ 𝑛−1 + 𝑛
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )
7,796,005.542 8,502,323.646 9,272,634.17
⟹ 𝐴𝑛⌉ = + +
(1 + 0.19235298)1 (1 + 0.19235298)2 (1 + 0.19235298)3
10,112,734.82 11,028,948.6 12,028,171.34
+ 4
+ 5
+
(1 + 0.19235298) (1 + 0.19235298) (1 + 0.19235298)6
⟹ 𝐴𝑛⌉ = 6,538,336.946 + 5,980,368.561 + 5,470,016.063 + 5,003,216.007
+ 4,576,251.723 + 4,185,723.701
∴ 𝐴𝑛⌉ = $31,753,913
8. Consider a mortgage credit for $59,731,779 to be paid in 6 ordinary annual

45
e) Determine the evolution of the value of the UDIS and the inflation rate based on
the following information and the one already stipulated above:
n INPC
0 82.300000000000000
1 85.657840000000000
2 89.152679872000000
3 92.790109210777600
4 96.575945666577300
5 100.51624424977400
6 104.61730701516400
f) Calculate the payment in pesos to be made each year by the agent who took
g) Check that both types of credit -in pesos and in UDIS- are equivalent from the
point of view of the value of money over time considering the nominal interest
Data:
𝑟 = 7.31% ; 𝜋 =; 𝐴𝑛 = $59,731,779; 𝑛 = 6 ; 𝑖 = 11.688248%
𝐼𝑁𝑃𝐶𝑡 85.65784
⟹ 𝜋 = [( ) − 1] (100) ⟹ [( ) − 1] (100); ∴= 4.08%
𝐼𝑁𝑃𝐶𝑡−1 82.3
1°
𝑖−𝜋
⟹𝑟= ⟹ 𝑖 − 𝜋 = 𝑟(1 + 𝜋) ⟹; ∴ 𝑖 = 𝑟(1 + 𝜋) + 𝜋
1+𝜋
⟹ 𝑖 = 0.0731(1 + 0.0408) + 0.0408
46
∴ 𝑖 = 0.11688248
𝑖. 𝑒. : 𝑖 = 11.688248%
2°
𝑖𝑝 𝐴𝑛⌉
:𝑅 = −𝑛
1 − (1 + 𝑖𝑝 )
𝑖
𝑖𝑝 = ⟺ 𝑚 = 1 ⟹ 𝑖𝑝 = −⟹ 𝑖𝑝 = 11.688248%
𝑚
𝐴𝑛⌉ = $59,731,779
𝑛=6
(0.11688248)(59,731,779)
⟹𝑅=
1 − (1 + 0.11688248)−6
∴ 𝑅 = $14,400,256.67
3°
𝐴𝑛⌉
59,731,779
21.07
∴ 𝐴𝑛⌉,𝑈𝐷𝐼 = 2,834,920. 693 𝑈𝐷𝐼𝑆
: 𝐴𝑛⌉,𝑈𝐷𝐼 = 2,834,920. 693 𝑈𝐷𝐼𝑆 ; 𝑟𝑈𝐷𝐼 = 7.31% ; 𝑛 = 6

1 − (1 + 𝑟𝑈𝐷𝐼 )−𝑛
(0.0731)(2,834,920. 693)
1 − (1 + 0.0731)−6
∴ 𝑅𝑈𝐷𝐼 = 600,458.0437 𝑈𝐷𝐼𝑆

0 82.300000000000000 … 𝑉𝑈𝐷𝐼,0 = $21.07
1 85.657840000000000 85.65784 𝑉𝑈𝐷𝐼,1
𝜋1 = ( − 1) 100 = 4.08%
82.3
= (1 + 0.0408)(21.07)
= $21.929656
47
2 89.152679872000000 89.152679872 𝑉𝑈𝐷𝐼,2

𝜋2 = ( − 1) 100 = 4.08%
85.65784
= (1
+ 0.0408)(21.929656)
= $22.82438596
3 92.790109210777600 92.7901092107776 𝑉𝑈𝐷𝐼,3

𝜋3 = ( − 1) 100
89.152679872
= 4.08% = (1
+ 0.0408)(22.82438596)
= $23.75562091
4 96.575945666577300 96.5759456665773 𝑉𝑈𝐷𝐼,4

𝜋4 = ( − 1) 100
92.7901092107776
= 4.08% = (1
+ 0.0408)(23.75562091)
= $24.724850𝟐𝟒
5 100.51624424977400 100.516244249774 𝑉𝑈𝐷𝐼,5

𝜋5 = ( − 1) 100
96.5759456665773
= 4.08% = (1
+ 0.0408)(24.72485023)
= $25.733624𝟏𝟑
6 104.61730701516400 104.617307015164 𝑉𝑈𝐷𝐼,6

𝜋6 = ( − 1) 100
100.516244249774
= 4.08% = (1
+ 0.0408)(25.73362409)
= $26.783555𝟗𝟗
N Payment in UDIS UDI Value Payment in pesos

1 600,458.0437 𝑉𝑈𝐷𝐼,1 𝑉𝑈𝐷𝐼,1
= 21.929656 𝑈𝐷𝐼𝑆 = $13,167,838.34
2 600,458.0437 𝑉𝑈𝐷𝐼,2 𝑉𝑈𝐷𝐼,2
= 22.82438596 𝑈𝐷𝐼𝑆 = $13,705,086.14
3 600,458.0437 𝑉𝑈𝐷𝐼,3 𝑉𝑈𝐷𝐼,3
= 23.75562091 𝑈𝐷𝐼𝑆 = $14,264,253.66
4 600,458.0437 𝑉𝑈𝐷𝐼,4 𝑉𝑈𝐷𝐼,4
= 24.724850𝟐𝟒𝑈𝐷𝐼𝑆 = $14,846,235.21
48
5 600,458.0437 𝑉𝑈𝐷𝐼,5 𝑉𝑈𝐷𝐼,5

= 25.733624𝟏𝟑𝑈𝐷𝐼𝑆 = $15,451,961.6
6 600,458.0437 𝑉𝑈𝐷𝐼,6 𝑉𝑈𝐷𝐼,6
= 26.783555𝟗𝟗 𝑈𝐷𝐼𝑆 = $16,082,401.63
4°
: 𝐴𝑛⌉ = + 2 + 3 + ⋯+ 𝑛−1 + 𝑛
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )
14,400,256.67 14,400,256.67 14,400,256.67
⟹ 𝐴𝑛⌉ = + +
(1 + 0.11688248)1 (1 + 0.11688248)2 (1 + 0.11688248)3
14,400,256.67 14,400,256.67 14,400,256.67
+ 4
+ 5
+
(1 + 0.11688248) (1 + 0.11688248) (1 + 0.11688248)6
⟹ 𝐴𝑛⌉ = 12,893,260.42 + 11,543,972.31 + 10,335,888.07 + 9,254,230.646
+ 8,285,769.373 + 7,418,658.204
∴ 𝐴𝑛⌉ = 59,731,779
Credit in UDIS:
: 𝐴𝑛⌉ = + 2 + 3 + ⋯+ 𝑛−1 + 𝑛
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )
13,167,838.34 13,705,086.14 14,264,253.66
⟹ 𝐴𝑛⌉ = 1
+ 2
+
(1 + 0.11688248) (1 + 0.11688248) (1 + 0.11688248)3
14,846,235.21 15,451,961.6 16,082,401.63
+ 4
+ 5
+
(1 + 0.11688248) (1 + 0.11688248) (1 + 0.11688248)6
⟹ 𝐴𝑛⌉ = 11,789,815.47 + 10,986,688.53 + 10,238,270.93 + 9,540,835.834
+ 8,890,910.288 + 8,285,257.931
∴ 𝐴𝑛⌉ = $59,731,779
49
IV. AMORTIZATION OF LOANS IN PESOS AND IN UDIS II

9. Consider a mortgage loan for $590,520.00 to be paid in 4 ordinary annual payments,
which pays a real interest rate of 2.90% per year. The National Consumer Price Index
for the years in question and the value of the UDI at the time of starting the loan is
shown in the following table:
n NCPI UDI Value

0 96.009160000000000000 $ 6.70
1 103.68989280000000000 $8.3916
2 115.30316079360000000 $9.3314592
3 129.71605589280000000 $10.4978916
4 142.68766148208000000 $11.54768076
a) Determine the inflation rate of each year.
b) Determine the nominal interest rate of the loan for each year.
c) Build the credit amortization table in pesos, i.e., calculate the value of the 4
annual payments, interest, capital amortization and the final balance.
Amortization Table.
n Initial Balance Payments Interests Amortization Final Balance
(IB) (R) (I) of Capital (FB)
(AC)
1 $590,520.00 $190,876.8667 $65,736.6864 $125,140.1803 $465,379.8197
2 $465,379.8197 $201,884.0917 $67,130.10823 $134,753.9835 $330,625.8362
3 $330,625.8362 $205,350.9029 $52,114.89743 $153,236.0055 $177,389.8307
4 $177,389.8307 $200,787.5494 $23,397.71867 $177,389.8307 -
d) Convert the loan of pesos to UDIS
e) Calculate the value of the payment, R.

50
f) Calculate the payment in pesos that the agent who took the loan in UDIS
should make each year.
g) Check that both types of credit in pesos and in UDlS are equivalent in terms
of the value of money over time.
Data:
n NCIP Rate of UDI Value

inflation
(%)
0 96.0091600000000 … $6.70
1 103.689892800000 8.00% 𝑉𝑈𝐷𝐼,1 = (1 + 0.08)(7.77) = $8.3916
2 115.303160793600 11.2% 𝑉𝑈𝐷𝐼,2 = (1 + 0.112)(8.3916)
= $9.3314592
3 129.716055892800 12.5% 𝑉𝑈𝐷𝐼,3 = (1 + 0.125)(9.3314592)
= $10.4978916
4 142.687661482080 10% 𝑉𝑈𝐷𝐼,4 = (1 + 0.1)(10.4978916)
= $11.54768076
A)
𝐴𝑛 = $590,520.00; 𝑟 = 2.90% ; 𝑛 = 4
𝐼𝑁𝑃𝐶𝑡
: 𝜋 = [( ) − 1] (100)
𝐼𝑁𝑃𝐶𝑡−1
103.689892800000
⟹ 𝜋1 = [( ) − 1] (100) ; ∴ 𝜋1 = 8.00%
96.0091600000000
115.3031607936
⟹ 𝜋2 = [( ) − 1] (100) ; ∴ 𝜋2 = 11.2%
103.6898928
129.7160558928
⟹ 𝜋3 = [( ) − 1] (100) ; ∴ 𝜋3 = 12.5%
115.3031607936
142.68766148208
⟹ 𝜋4 = [( ) − 1] (100) ; ∴ 𝜋4 = 10%
129.7160558928
B)
51
: 1 − 𝜋 = 𝑟(1 + 𝜋) ⟹ 𝑖 = 𝑟(1 + 𝜋) + 𝜋
⟹ 𝑖1 = 0.0290(1 + 0.08) + 0.08 ; ∴ 𝑖1 = 11.132%

⟹ 𝑖2 = 0.0290(1 + 0.112) + 0.112 ; ∴ 𝑖2 = 14.4248%
⟹ 𝑖3 = 0.0290(1 + 0.125) + 0.125 ; ∴ 𝑖3 = 15.7625%
⟹ 𝑖4 = 0.0290(1 + 0.1) + 0.1 ; ∴ 𝑖4 = 13.19%
1𝑠𝑡 𝑦𝑒𝑎𝑟 𝑐𝑎𝑙𝑐𝑢𝑙𝑎𝑡𝑖𝑜𝑛𝑠:

1°
Data:
𝐴𝑛 = $590,520.00 ; 𝑖1 = 11.132% ; 𝑛 = 4
𝑖𝑝 𝐴𝑛 (0.11132)(590,520)
:𝑅 = −𝑛 ;⟹ 𝑅 = ; ∴ 𝑅 = $190,876.8667
1 − (1 + 𝑖𝑝 ) 1 − (1 + 0.11132)−4
1.2°
𝑖 𝑛𝑝 𝑖 𝑛𝑝
: 𝑀 = 𝐶 [1 + ( )] ∧ 𝐼 = 𝑀 − 𝐶 ⟹ 𝐼 = 𝐶 [1 + ( )] − 𝐶 ⟹ 𝐼
𝑝 𝑝
Data:
𝐴𝑛 = 𝐶1 = $590,520.00 ; 𝑖1 = 11.132% ; 𝑛 = 4
0.11132
⟹ 𝐼1 = 590,520 [1 + ( )] − 590,520 ; ∴ 𝐼1 = $65,736.6864
1
1.3°
: 𝐴𝐶1 = 𝑅1 − 𝐼1 ; ⟹ 190,876.8667 − 65,736.6864; ∴ 𝐴𝐶1 = $125,140.1803
1.4°
: 𝐹𝐵1 = 𝐼𝐵1 − 𝐴𝐶1 ; ⟹ 𝐹𝐵1 = 590,520 − 125,140.1803 ; ∴ 𝐹𝐵1 = $465,379.8197
2𝑛𝑑 𝑦𝑒𝑎𝑟 𝑐𝑎𝑙𝑐𝑢𝑙𝑎𝑡𝑖𝑜𝑛𝑠:

2°
Data:
𝐴𝑛 = 𝐹𝐵1 = $465,379.8197 ; 𝑖2 = 14.4248% ; 𝑛 = 3

52
𝑖𝑝 𝐴𝑛 (0.144248)(465,379.8197)
: 𝑅2 = −𝑛 ; ⟹ 𝑅2 = ; ∴ 𝑅2 = $201,884.0917
1 − (1 + 𝑖𝑝 ) 1 − (1 + 0.144248)−3
2.2°
: 𝑀 = 𝐶 [1 + ( )] ∧ 𝐼 = 𝑀 − 𝐶 ⟹ 𝐼 = 𝐶 [1 + ( )] − 𝐶 ⟹ 𝐼
𝑝 𝑝
Data:
𝐴𝑛 = 𝐶2 = $465,379.8197 ; 𝑖2 = 14.4248% ; 𝑛 = 3
0.144248
⟹ 𝐼2 = 465,379.8197 [1 + ( )] − 465,379.8197 ; ∴ 𝐼2 = $67,130.10823
1
2.3°
: 𝐴𝐶2 = 𝑅2 − 𝐼2 ; ⟹ 201,884.0917 − 67,130.10823; ∴ 𝐴𝐶2 = $134,753.9835
2.4°
: 𝐹𝐵2 = 𝐹𝐵1 − 𝐴𝐶2 ; ⟹ 𝐹𝐵2 = 465,379.8197 − 134,753.9835

∴ 𝐹𝐵2 = $330,625.8362
3𝑟𝑑 𝑦𝑒𝑎𝑟 𝑐𝑎𝑙𝑐𝑢𝑙𝑎𝑡𝑖𝑜𝑛𝑠:

3°
Data:
𝐴𝑛 = 𝐹𝐵2 = $330,625.8362 ; 𝑖3 = 15.7625% ; 𝑛 = 2
𝑖𝑝 𝐴𝑛 (0.157625)(330,625.8362)
: 𝑅3 = −𝑛 ; ⟹ 𝑅3 = ; ∴ 𝑅3 = $205,350.9029
1 − (1 + 𝑖𝑝 ) 1 − (1 + 0.157625)−2
3.2°
: 𝑀 = 𝐶 [1 + ( )] ∧ 𝐼 = 𝑀 − 𝐶 ⟹ 𝐼 = 𝐶 [1 + ( )] − 𝐶 ⟹ 𝐼
𝑝 𝑝
Data:
𝐴𝑛 = 𝐶3 = $330,625.8362 ; 𝑖3 = 15.7625% ; 𝑛 = 2
0.157625
⟹ 𝐼3 = 330,625.8362 [1 + ( )] − 330,625.8362 ; ∴ 𝐼3 = $52,114.89743
1
53
3.3°
: 𝐴𝐶3 = 𝑅3 − 𝐼3 ; ⟹ 205,350.9029 − 52,114.89743; ∴ 𝐴𝐶3 = $153,236.0055
3.4°
: 𝐹𝐵3 = 𝐹𝐵2 − 𝐴𝐶3 ; ⟹ 𝐹𝐵3 = 330,625.8362 − 153,236.0055

∴ 𝐹𝐵3 = $177,389.8307
4𝑡ℎ 𝑦𝑒𝑎𝑟 𝑐𝑎𝑙𝑐𝑢𝑙𝑎𝑡𝑖𝑜𝑛𝑠:

4°
Data:
𝐴𝑛 = 𝐹𝐵3 = $177,389.8307 ; 𝑖4 = 13.19% ; 𝑛 = 1
𝑖𝑝 𝐴𝑛 (0.1319)(177,389.8307)
: 𝑅4 = −𝑛 ; ⟹ 𝑅4 = ; ∴ 𝑅4 = $200,787.5494
1 − (1 + 𝑖𝑝 ) 1 − (1 + 0.1319)−1
4.2°
: 𝑀 = 𝐶 [1 + ( )] ∧ 𝐼 = 𝑀 − 𝐶 ⟹ 𝐼 = 𝐶 [1 + ( )] − 𝐶 ⟹ 𝐼
𝑝 𝑝
Data:
𝐴𝑛 = 𝐶4 = $177,389.8307; 𝑖4 = 13.19% ; 𝑛 = 1
0.1319
⟹ 𝐼4 = 177,389.8307 [1 + ( )] − 177,389.8307 ; ∴ 𝐼4 = $23,397.71867
1
4.3°
: 𝐴𝐶4 = 𝑅4 − 𝐼4 ; ⟹ 200,787.5494 − 23,397.71867 ; ∴ 𝐴𝐶4 = $177,389.8307
4.4°
: 𝐹𝐵4 = 𝐹𝐵3 − 𝐴𝐶4 ; ⟹ 𝐹𝐵4 = 177,389.8307 − 177,389.8307

∴ 𝐹𝐵4 = $ −
54
Amortization Table.
(AC)
1 $590,520.00 $190,876.8667 $65,736.6864 $125,140.1803 $465,379.8197
2 $465,379.8197 $201,884.0917 $67,130.10823 $134,753.9835 $330,625.8362
3 $330,625.8362 $205,350.9029 $52,114.89743 $153,236.0055 $177,389.8307
4 $177,389.8307 $200,787.5494 $23,397.71867 $177,389.8307 -
d)
𝐴𝑛⌉ 590,520
: 𝐴𝑛⌉𝑈𝐷𝐼 = ; ⟹ 𝐴𝑛⌉𝑈𝐷𝐼 = ; ∴ 𝐴𝑛⌉𝑈𝐷𝐼 = 103,062.6866 𝑈𝐷𝐼𝑆
$𝑏𝑦𝑈𝐷𝐼 6.70
e)
Data:
𝐴𝑛⌉,𝑈𝐷𝐼 = 103,062.6866 𝑈𝐷𝐼𝑆 ; 𝑟𝑈𝐷𝐼 = 2.90% ; 𝑛 = 4

𝑟𝑈𝐷𝐼 𝐴𝑛⌉,𝑈𝐷𝐼 (0.0290)(103,062.6866)
: 𝑅𝑈𝐷𝐼 = ; ⟹ 𝑅𝑈𝐷𝐼 =
1 − (1 + 𝑟𝑈𝐷𝐼 )−𝑛 1 − (1 + 0.0290)−4
∴ 𝑅𝑈𝐷𝐼 = 27,660.37751𝑈𝐷𝐼𝑆
N Payment in UDI Value Payment in Pesos

UDIS
1 27,660.37751 $8.3916 𝑉𝑈𝐷𝐼,$,1 = (27,660.37751)(8.3916)
= $232,114.8238
2 27,660.37751 $9.3314592 𝑉𝑈𝐷𝐼,$,2 = (27,660.37751)(9.3314592)
= $258,111.6841
3 27,660.37751 $10.4978916 𝑉𝑈𝐷𝐼,$,3 = (27,660.37751)(10.4978916)
= $290,375.6446
4 27,660.37751 $11.54768076 𝑉𝑈𝐷𝐼,$,4 = (27,660.37751)(11.54768076)
= $319,413.2091
55
g)
Data:
𝑅1 = $190,876.8667 ; 𝑅2 = $201,884.0917 ; 𝑅3 = $205,350.9029 ; 𝑅4 = $200,787.5494

𝑖1 = 11.132% ; 𝑖2 = 14.4248% ; 𝑖3 = 15.7625% ; 𝑖4 = 13.19%
𝑅1 𝑅2 𝑅3 𝑅4
: 𝐴𝑛⌉ = + 2 + 3 + 4
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )
𝑅1 𝑅1 𝑅1
⟹ 𝐴𝑛⌉ = + +
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )
𝑅1
+
(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )
190,876.8667 201,884.0917
⟹ 𝐴𝑛⌉ = +
(1 + 0.11132) (1 + 0.11132)(1 + 0.144248)
205,350.9029
+
(1 + 0.11132)(1 + 0.144248)(1 + 0.157625)
200,787.5494
+
(1 + 0.11132)(1 + 0.144248)(1 + 0.157625)(0.1319)
⟹ 𝐴𝑛⌉ = 171,756.8897 + 158,760.6272 + 139,498.4645 + 120,504.0185
∴ 𝐴𝑛⌉ = $590,520.00
𝑉𝑈𝐷𝐼,$,1 = $232,114.8238 ; 𝑉𝑈𝐷𝐼,$,2 = $258,111.6841 ; 𝑉𝑈𝐷𝐼,$,3

= $290,375.6446 ; 𝑉𝑈𝐷𝐼,$,4= $319,413.2091
𝑖1 = 11.132% ; 𝑖2 = 14.4248% ; 𝑖3 = 15.7625% ; 𝑖4 = 13.19%
𝑅1 𝑅2 𝑅3 𝑅4
: 𝐴𝑛⌉𝑈𝐷𝐼,$ = + 2 + 3 + 4
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )
𝑅𝑈𝐷𝐼,$,1 𝑅𝑈𝐷𝐼,$,2 𝑅𝑈𝐷𝐼,$,3
⟹ 𝐴𝑛⌉ = + +
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )
𝑅𝑈𝐷𝐼,$,4
+
(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )
56
232,114.8238 258,111.6841
⟹ 𝐴𝑛⌉ = +
(1 + 0.11132) (1 + 0.11132)(1 + 0.144248)
290,375.6446
+
(1 + 0.11132)(1 + 0.144248)(1 + 0.157625)
319,413.2091
+
(1 + 0.11132)(1 + 0.144248)(1 + 0.157625)(0.1319)
⟹ 𝐴𝑛⌉ = 208,864.075 + 202,977.7211 + 197257.2605 + 191,698.018
∴ 𝐴𝑛⌉ = $590,520.00
10. Consider a mortgage loan for $1,550,250.00 to be paid in 4 ordinary annual

payments, which pays a real interest rate of 9.10% per year. The National Consumer
Price Index for the years in question and the value of the UDI at the time of starting the
loan is shown in the following table:
n NCPI UDI Value

0 100.00000000000000000 $ 5.60
1 118.00000000000000000 $6.608
2 137.47000000000000000 $7.69832
3 169.08810000000000000 $9.4689336
4 219.81453000000000000 $11.54768076
Amortization Table.
(AC)
1 $1,550,250 $700,554.8435 $445,510.845 $255,043.9985 $1,295,206.002
2 $1,295,206.002 $684,278.4453 $351,020.2546 $333,258.1907 $961,947.8113
57
3 $961,947.8113 $739,668.8424 $328,918.8151 $410,750.0273 $551,197.784

4 $551,197.784 $781,763.817 $230,566.033 $551,197.784 -
of the value of money over lime.
Data:

inflation
(%)
0 100.00000000000000000 … $5.60
1 118.00000000000000000 18% 𝑉𝑈𝐷𝐼,1 = (1 + 0.18)(5.60) = $6.608
2 137.47000000000000000 16.5% 𝑉𝑈𝐷𝐼,2 = (1 + 0.165)(6.608)
= $7.69832
3 169.08810000000000000 23% 𝑉𝑈𝐷𝐼,3 = (1 + 0.23)(7.69832)
= $9.4689336
4 219.81453000000000000 30% 𝑉𝑈𝐷𝐼,4 = (1 + 0.1)(10.4978916)
= $11.54768076
A)
𝐴𝑛 = $1,550,250.00 ; 𝑟 = 9.10% ; 𝑛 = 4
: 𝜋 = [( ) − 1] (100)
118.00
⟹ 𝜋1 = [( ) − 1] (100) ; ∴ 𝜋1 = 18%
100
58
137.47
⟹ 𝜋2 = [( ) − 1] (100) ; ∴ 𝜋2 = 16.5%
118.00
169.0881
⟹ 𝜋3 = [( ) − 1] (100) ; ∴ 𝜋3 = 23%
137.47
219.81453
⟹ 𝜋4 = [( ) − 1] (100) ; ∴ 𝜋4 = 30%
169.0881
B)
: 1 − 𝜋 = 𝑟(1 + 𝜋) ⟹ 𝑖 = 𝑟(1 + 𝜋) + 𝜋
⟹ 𝑖1 = 0.0910(1 + 0.18) + 0.18 ; ∴ 𝑖1 = 28.738%

⟹ 𝑖2 = 0.0910(1 + 0.165) + 0.165 ; ∴ 𝑖2 = 27.1015%
⟹ 𝑖3 = 0.0910(1 + 0.23) + 0.23 ; ∴ 𝑖3 = 34.193%
⟹ 𝑖4 = 0.0910(1 + 0.30) + 0.30 ; ∴ 𝑖4 = 41.83%

1°
Data:
𝐴𝑛 = $1,550,250 ; 𝑖1 = 28.738% ; 𝑛 = 4
𝑖𝑝 𝐴𝑛 (0.28738)(1,550,250)
:𝑅 = −𝑛 ;⟹ 𝑅 = ; ∴ 𝑅 = $700,554.8435
1 − (1 + 𝑖𝑝 ) 1 − (1 + 0.28738)−4
1.2°
: 𝑀 = 𝐶 [1 + ( )] ∧ 𝐼 = 𝑀 − 𝐶 ⟹ 𝐼 = 𝐶 [1 + ( )] − 𝐶 ⟹ 𝐼
𝑝 𝑝
Data:
𝐴𝑛 = 𝐶1 = $1,550,250.00 ; 𝑖1 = 28.738% ; 𝑛 = 4
0.28738
⟹ 𝐼1 = 1,550,250 [1 + ( )] − 1,550,250 ; ∴ 𝐼1 = $445,510.845
1
1.3°
: 𝐴𝐶1 = 𝑅1 − 𝐼1 ; ⟹ 700,554.8435 − 445,510.845; ∴ 𝐴𝐶1 = $255,043.9985
1.4°
59
: 𝐹𝐵1 = 𝐼𝐵1 − 𝐴𝐶1 ; ⟹ 𝐹𝐵1 = 1,550,250 − 255,043.9985 ; ∴ 𝐹𝐵1 = $1,295206.002

2°
Data:
𝐴𝑛 = 𝐹𝐵1 = $1,295,206.002 ; 𝑖2 = 27.1015% ; 𝑛 = 3
𝑖𝑝 𝐴𝑛 (0.271015)(1,295,206.002)
: 𝑅2 = −𝑛 ; ⟹ 𝑅2 = ; ∴ 𝑅2 = $684,278.4453
1 − (1 + 𝑖𝑝 ) 1 − (1 + 0.271015)−3
2.2°
: 𝑀 = 𝐶 [1 + ( )] ∧ 𝐼 = 𝑀 − 𝐶 ⟹ 𝐼 = 𝐶 [1 + ( )] − 𝐶 ⟹ 𝐼
𝑝 𝑝
Data:
𝐴𝑛 = 𝐶2 = $1,295206.002 ; 𝑖2 = 27.1015% ; 𝑛 = 3
0.271015
⟹ 𝐼2 = 1,295,206.002 [1 + ( )] − 1,295,206.002 ; ∴ 𝐼2 = $351,020.2546
1
2.3°
: 𝐴𝐶2 = 𝑅2 − 𝐼2 ; ⟹ 684,278.4453 − 351,020.2546; ∴ 𝐴𝐶2 = $333,258.1907
2.4°
: 𝐹𝐵2 = 𝐹𝐵1 − 𝐴𝐶2 ; ⟹ 𝐹𝐵2 = 1,295,206.002 − 333,258.1907

∴ 𝐹𝐵2 = $961,947.8113

3°
Data:
𝐴𝑛 = 𝐹𝐵2 = $961,947.8113 ; 𝑖3 = 34.193% ; 𝑛 = 2
𝑖𝑝 𝐴𝑛 (0.34193)(961,947.8113)
: 𝑅3 = −𝑛 ; ⟹ 𝑅3 = ; ∴ 𝑅3 = $739,668.8424
1 − (1 + 𝑖𝑝 ) 1 − (1 + 0.34193)−2
60
3.2°
: 𝑀 = 𝐶 [1 + ( )] ∧ 𝐼 = 𝑀 − 𝐶 ⟹ 𝐼 = 𝐶 [1 + ( )] − 𝐶 ⟹ 𝐼
𝑝 𝑝
Data:
𝐴𝑛 = 𝐶3 = $961,947.8113 ; 𝑖3 = 34.193% ; 𝑛 = 2
0.34193
⟹ 𝐼3 = 961,947.8113 [1 + ( )] − 961,947.8113 ; ∴ 𝐼3 = $328,918.8151
1
3.3°
: 𝐴𝐶3 = 𝑅3 − 𝐼3 ; ⟹ 739,668.8424 − 328,918.8151; ∴ 𝐴𝐶3 = $410,750.0273
3.4°
: 𝐹𝐵3 = 𝐹𝐵2 − 𝐴𝐶3 ; ⟹ 𝐹𝐵3 = 961,947.8113 − 410,750.0273

∴ 𝐹𝐵3 = $551,197.784

4°
Data:
𝐴𝑛 = 𝐹𝐵3 = $551,197.784 ; 𝑖4 = 41.83% ; 𝑛 = 1
𝑖𝑝 𝐴𝑛 (0.4183)(551,197.784)
: 𝑅4 = −𝑛 ; ⟹ 𝑅4 = ; ∴ 𝑅4 = $781,763.817
1 − (1 + 𝑖𝑝 ) 1 − (1 + 0.4183)−1
4.2°
: 𝑀 = 𝐶 [1 + ( )] ∧ 𝐼 = 𝑀 − 𝐶 ⟹ 𝐼 = 𝐶 [1 + ( )] − 𝐶 ⟹ 𝐼
𝑝 𝑝
Data:
𝐴𝑛 = 𝐶4 = $177,389.8307; 𝑖4 = 41.83% ; 𝑛 = 1
0.4183
⟹ 𝐼4 = 551,197.784 [1 + ( )] − 551,197.784 ; ∴ 𝐼4 = $230,566.033
1
4.3°
61
: 𝐴𝐶4 = 𝑅4 − 𝐼4 ; ⟹ 781,763.817 − 230,566.033 ; ∴ 𝐴𝐶4 = $551,197.784
4.4°
: 𝐹𝐵4 = 𝐹𝐵3 − 𝐴𝐶4 ; ⟹ 𝐹𝐵4 = 551,197.784 − 551,197.784

∴ 𝐹𝐵4 = $ −
Amortization Table.
(AC)
1 $1,550,250 $700,554.8435 $445,510.845 $255,043.9985 $1,295,206.002
2 $1,295,206.002 $684,278.4453 $351,020.2546 $333,258.1907 $961,947.8113
3 $961,947.8113 $739,668.8424 $328,918.8151 $410,750.0273 $551,197.784
4 $551,197.784 $781,763.817 $230,566.033 $551,197.784 -
d)
𝐴𝑛⌉ 1,550,250
e)
Data:
𝐴𝑛⌉,𝑈𝐷𝐼 = 276,830.3571 𝑈𝐷𝐼𝑆 ; 𝑟𝑈𝐷𝐼 = 9.10% ; 𝑛 = 4

𝑟𝑈𝐷𝐼 𝐴𝑛⌉,𝑈𝐷𝐼 (0.0910)(276,830.3571)
: 𝑅𝑈𝐷𝐼 = ; ⟹ 𝑅𝑈𝐷𝐼 = ; ∴ 𝑅𝑈𝐷𝐼
1 − (1 + 𝑟𝑈𝐷𝐼 )−𝑛 1 − (1 + 0.0910)−4
= 85,636.48767𝑈𝐷𝐼𝑆

UDIS
1 85,636.48767 $6.608 𝑉𝑈𝐷𝐼,$,1 = (85,636.48767)(6.608)
= $565,885.9105
62
2 85,636.48767 $7.69832 𝑉𝑈𝐷𝐼,$,2 = (85,636.48767)(7.69832)

= $659,257.0858
3 85,636.48767 $9.4689336 𝑉𝑈𝐷𝐼,$,3 = (85,636.48767)(9.4689336)
= $810,886.2155
4 85,636.48767 $11.54768076 𝑉𝑈𝐷𝐼,$,4 = (85,636.48767)(11.54768076)
= $988,902.821
g)
Data:
𝑅1 = $700,554.8435; 𝑅2 = $684,278.4453; 𝑅3 = $739,668.8424; 𝑅4 = $781,763.817

𝑖1 = 28.738% ; 𝑖2 = 27.1015% ; 𝑖3 = 34.193% ; 𝑖4 = 41.83%
𝑅1 𝑅2 𝑅3 𝑅4
: 𝐴𝑛⌉ = + 2 + 3 + 4
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )
𝑅1 𝑅1 𝑅1
⟹ 𝐴𝑛⌉ = + +
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )
𝑅1
+
(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )
700,554.8435 684,278.4453
⟹ 𝐴𝑛⌉ = +
(1 + 0.28738) (1 + 0.28738)(1 + 0.271015)
739,668.8424
+
(1 + 0.28738)(1 + 0.271015)(1 + 0.34193)
781,763.817
+
(1 + 0.28738)(1 + 0.271015)(1 + 0.34193)(1 + 0.4183)
⟹ 𝐴𝑛⌉ = 544,170.9856 + 418,191.7165 + 336,860.4536 + 251,026.8446
∴ 𝐴𝑛⌉ = $1,550,250
𝑉𝑈𝐷𝐼,$,1 = $565,885.9105 ; 𝑉𝑈𝐷𝐼,$,2 = $659,257.0858 ; 𝑉𝑈𝐷𝐼,$,3

= $810,886.2155 ; 𝑉𝑈𝐷𝐼,$,4= $988,902.821
𝑖1 = 28.738% ; 𝑖2 = 27.1015% ; 𝑖3 = 34.193% ; 𝑖4 = 41.83%
63
𝑅1 𝑅2 𝑅3 𝑅4
: 𝐴𝑛⌉𝑈𝐷𝐼,$ = + 2 + 3 + 4
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )
⟹ 𝐴𝑛⌉ = + +
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )
+
(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )
565,885.9105 659,257.0858
⟹ 𝐴𝑛⌉ = +
(1 + 0.28738) (1 + 0.28738)(1 + 0.271015)
810,886.2155
+
(1 + 0.28738)(1 + 0.271015)(1 + 0.34193)
988,902.821
+
(1 + 0.28738)(1 + 0.271015)(1 + 0.34193)(0.4183)
⟹ 𝐴𝑛⌉ = 439,564.0064 + 402,900,0975 + 369,294.3149 + 317,539.8366
∴ 𝐴𝑛⌉ = $1,550,250

n NCPI UDI Value
0 80.50283000000000000 $ 7.10
1 94.99333940000000000 $ 8.378
2 110.6672404010000000 $ 9.76037
3 136.1207056932300000 $12.0052551
4 176.9569174011990000 $ 15.60683163
64
Amortization Table.

of Capital
(IB) (R) (I) (FB)
(AC)
1 $3,300,630.00 $1,533,633.65 $1,003,061.45 $530,572.198 $2,770,057.80

5 7 2
2 $2,770,057.80 $1,498,159.68 $795,906.858 $702,252.826 $2,067,804.97

2 4 6
3 $2,067,804.97 $1,619,156.39 $742,652.1571 $876,504.2389 $1,191,300.73

6 6 7
4 $1,191,300.73 $1,711,303.50 $520,002.7717 $1,191,300.73 -

7 9 7
Data:
65

inflation
(%)
0 80.50283000000000000 … $7.10
1 94.99333940000000000 18% 𝑉𝑈𝐷𝐼,1 = (1 + 0.18)(7.10) = $8.378
2 110.6672404010000000 16.5% 𝑉𝑈𝐷𝐼,2 = (1 + 0.165)(8.378) = $9.76037
3 136.1207056932300000 23% 𝑉𝑈𝐷𝐼,3 = (1 + 0.23)(9.76037)

= $12.0052551
4 176.9569174011990000 30% 𝑉𝑈𝐷𝐼,4 = (1 + 0.30)(12.0052551)

= $15.60683163
A)
𝐴𝑛 = $3,300,630.00 ; 𝑟 = 10.50% ; 𝑛 = 4
: 𝜋 = [( ) − 1] (100)
94.9933394
⟹ 𝜋1 = [( ) − 1] (100) ; ∴ 𝜋1 = 18%
80.50283
110.667240401
⟹ 𝜋2 = [( ) − 1] (100) ; ∴ 𝜋2 = 16.5%
94.9933394
136.12070569323
⟹ 𝜋3 = [( ) − 1] (100) ; ∴ 𝜋3 = 23%
110.667240401
176.956917401199
⟹ 𝜋4 = [( ) − 1] (100) ; ∴ 𝜋4 = 30%
136.12070569323
B)
: 1 − 𝜋 = 𝑟(1 + 𝜋) ⟹ 𝑖 = 𝑟(1 + 𝜋) + 𝜋
⟹ 𝑖1 = 0.1050(1 + 0.18) + 0.18 ; ∴ 𝑖1 = 30.39%

⟹ 𝑖2 = 0.1050(1 + 0.165) + 0.165 ; ∴ 𝑖2 = 28.7325%
⟹ 𝑖3 = 0.1050(1 + 0.23) + 0.23 ; ∴ 𝑖3 = 35.915%
66
⟹ 𝑖4 = 0.1050(1 + 0.30) + 0.30 ; ∴ 𝑖4 = 43.65%

1°
Data:
𝐴𝑛 = $3,300,630; 𝑖1 = 30.39% ; 𝑛 = 4
𝑖𝑝 𝐴𝑛 (0.3039)(3,300,630)
:𝑅 = −𝑛 ;⟹ 𝑅 = ; ∴ 𝑅 = $1,533,633.655
1 − (1 + 𝑖𝑝 ) 1 − (1 + 0.3039)−4
1.2°
: 𝑀 = 𝐶 [1 + ( )] ∧ 𝐼 = 𝑀 − 𝐶 ⟹ 𝐼 = 𝐶 [1 + ( )] − 𝐶 ⟹ 𝐼
𝑝 𝑝
Data:
𝐴𝑛 = 𝐶1 = $3,300,630 ; 𝑖1 = 30.39% ; 𝑛 = 4
0.3039
⟹ 𝐼1 = 3,300,630 [1 + ( )] − 3,300,630 ; ∴ 𝐼1 = $1,003,061.457
1
1.3°
: 𝐴𝐶1 = 𝑅1 − 𝐼1 ; ⟹ 𝐴𝐶1 = 1,533,633.655 − 1,003,061.457; ∴ 𝐴𝐶1 = $530,572.198
1.4°
: 𝐹𝐵1 = 𝐼𝐵1 − 𝐴𝐶1 ; ⟹ 𝐹𝐵1 = 3,300,630 − 530,572.198 ; ∴ 𝐹𝐵1 = $2,770,057.802

2°
Data:
𝐴𝑛 = 𝐹𝐵1 = $2,770,057.802 ; 𝑖2 = 28.7325% ; 𝑛 = 3
𝑖𝑝 𝐴𝑛 (0.287325)(2,770,057.802 )
: 𝑅2 = −𝑛 ; ⟹ 𝑅2 = ; ∴ 𝑅2 = $1,498,159.684
1 − (1 + 𝑖𝑝 ) 1 − (1 + 0.287325)−3
2.2°
67
: 𝑀 = 𝐶 [1 + ( )] ∧ 𝐼 = 𝑀 − 𝐶 ⟹ 𝐼 = 𝐶 [1 + ( )] − 𝐶 ⟹ 𝐼
𝑝 𝑝
Data:
𝐴𝑛 = 𝐶2 = $2,770,057.802 ; 𝑖2 = 28.7325% ; 𝑛 = 3
0.287325
⟹ 𝐼2 = 2,770,057.802 [1 + ( )] − 2,770,057.802 ; ∴ 𝐼2 = $795,906.858
1
2.3°
: 𝐴𝐶2 = 𝑅2 − 𝐼2 ; ⟹ 𝐴𝐶2 = 1,498,159.684 − 795,906.858; ∴ 𝐴𝐶2 = $702,252.826
2.4°
: 𝐹𝐵2 = 𝐹𝐵1 − 𝐴𝐶2 ; ⟹ 𝐹𝐵2 = 2,770,057.802 − 702,252.826

∴ 𝐹𝐵2 = $2,067,804.976

3°
Data:
𝐴𝑛 = 𝐹𝐵2 = $2,067,804.976 ; 𝑖3 = 35.915% ; 𝑛 = 2
𝑖𝑝 𝐴𝑛 (0.35915)(2,067,804.976)
: 𝑅3 = −𝑛 ; ⟹ 𝑅3 = ; ∴ 𝑅3 = $1,619,156.396
1 − (1 + 𝑖𝑝 ) 1 − (1 + 0.35915)−2
3.2°
: 𝑀 = 𝐶 [1 + ( )] ∧ 𝐼 = 𝑀 − 𝐶 ⟹ 𝐼 = 𝐶 [1 + ( )] − 𝐶 ⟹ 𝐼
𝑝 𝑝
Data:
𝐴𝑛 = 𝐶3 = $2,067,804.976 ; 𝑖3 = 35.915% ; 𝑛 = 2
0.35915
⟹ 𝐼3 = 2,067,804.976 [1 + ( )] − 2,067,804.976 ; ∴ 𝐼3 = $742,652.1571
1
3.3°
: 𝐴𝐶3 = 𝑅3 − 𝐼3 ; ⟹ 𝐴𝐶3 = 1,619,156.396 − 742,652.1571; ∴ 𝐴𝐶3 = $876,504.2389

68
3.4°
: 𝐹𝐵3 = 𝐹𝐵2 − 𝐴𝐶3 ; ⟹ 𝐹𝐵3 = 2,067,804.976 − 876,504.2389

∴ 𝐹𝐵3 = $1,191,300.737

4°
Data:
𝐴𝑛 = 𝐹𝐵3 = $1,191,300.737; 𝑖4 = 43.65% ; 𝑛 = 1
𝑖𝑝 𝐴𝑛 (0.4365)(1,191,300.737)
: 𝑅4 = −𝑛 ; ⟹ 𝑅4 = ; ∴ 𝑅4 = $1,711,303.509
1 − (1 + 𝑖𝑝 ) 1 − (1 + 0.4365)−1
4.2°
: 𝑀 = 𝐶 [1 + ( )] ∧ 𝐼 = 𝑀 − 𝐶 ⟹ 𝐼 = 𝐶 [1 + ( )] − 𝐶 ⟹ 𝐼
𝑝 𝑝
Data:
𝐴𝑛 = 𝐶4 = $1,191,300.737; 𝑖4 = 43.65% ; 𝑛 = 1
0.4365
⟹ 𝐼4 = 1,191,300.737 [1 + ( )] − 1,191,300.737 ; ∴ 𝐼4 = $520,002.7717
1
4.3°
: 𝐴𝐶4 = 𝑅4 − 𝐼4 ; ⟹ 𝐴𝐶4 = 1,711,303.509 − 520,002.7717 ; ∴ 𝐴𝐶4 = $1,191,300.737
4.4°
: 𝐹𝐵4 = 𝐹𝐵3 − 𝐴𝐶4 ; ⟹ 𝐹𝐵4 = 1,191,300.737 − 1,191,300.737

∴ 𝐹𝐵4 = $ −
Amortization Table.

of Capital
(IB) (R) (I) (FB)
(AC)
69
1 $3,300,630.00 $1,533,633.65 $1,003,061.45 $530,572.198 $2,770,057.80

5 7 2
2 $2,770,057.80 $1,498,159.68 $795,906.858 $702,252.826 $2,067,804.97

2 4 6
3 $2,067,804.97 $1,619,156.39 $742,652.1571 $876,504.2389 $1,191,300.73

6 6 7
4 $1,191,300.73 $1,711,303.50 $520,002.7717 $1,191,300.73 -

7 9 7
d)
𝐴𝑛⌉ 3,300,630.00
e)
Data:
𝐴𝑛⌉,𝑈𝐷𝐼 = 464,877.4648 𝑈𝐷𝐼𝑆 ; 𝑟𝑈𝐷𝐼 = 10.50% ; 𝑛 = 4

𝑟𝑈𝐷𝐼 𝐴𝑛⌉,𝑈𝐷𝐼 (0.1050)(464,877.4648)
: 𝑅𝑈𝐷𝐼 = ; ⟹ 𝑅𝑈𝐷𝐼 = ; ∴ 𝑅𝑈𝐷𝐼
1 − (1 + 𝑟𝑈𝐷𝐼 )−𝑛 1 − (1 + 0.1050)−4
= 148,245.6842 𝑈𝐷𝐼𝑆

UDIS
1 148,245.6842 $ 8.378 𝑉𝑈𝐷𝐼,$,1 = (148,245.6842)(8.378)

= $1,242,002.342
2 148,245.6842 $ 9.76037 𝑉𝑈𝐷𝐼,$,2 = (148,245.6842)(9.76037)

= $1,446,932.729
70
3 148,245.6842 $12.0052551 𝑉𝑈𝐷𝐼,$,3 = (148,245.6842)(12.0052551)

= $1,779,727.256
4 148,245.6842 $ 15.60683163 𝑉𝑈𝐷𝐼,$,4 = (148,245.6842)(15.60683163)

= $2,313,645.433
g)
Data:
𝑅1 = $1,533,633.655; 𝑅2 = $1,498,159.684; 𝑅3 = $1,619,156.396; 𝑅4 = $1,711,303.509

𝑖1 = 30.39% ; 𝑖2 = 28.7325% ; 𝑖3 = 35.915% ; 𝑖4 = 43.65%
𝑅1 𝑅2 𝑅3 𝑅4
: 𝐴𝑛⌉ = + 2 + 3 + 4
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )
𝑅1 𝑅2 𝑅3
⟹ 𝐴𝑛⌉ = + +
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )
𝑅4
+
(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )
1,533,633.655 1,498,159.684
⟹ 𝐴𝑛⌉ = +
(1 + 0.3039) (1 + 0.3039)(1 + 0.287325)
1,619,156.396
+
(1 + 0.3039)(1 + 0.287325)(1 + 0.35915)
1,711,303.509
+
(1 + 0.3039)(1 + 0.287325)(1 + 0.35915)(1 + 0.4365)
⟹ 𝐴𝑛⌉ = 1,176,189.627 + 892,535.7431 + 709,723.0685 + 522,181.5612
∴ 𝐴𝑛⌉ = $3,300,630
𝑉𝑈𝐷𝐼,$,1 = $1,242,002.342 ; 𝑉𝑈𝐷𝐼,$,2 = $1,446,932.729 ; 𝑉𝑈𝐷𝐼,$,3

= $1,779,727.256 ; 𝑉𝑈𝐷𝐼,$,4= $2,313,645.433
𝑖1 = 30.39% ; 𝑖2 = 28.7325% ; 𝑖3 = 35.915% ; 𝑖4 = 43.65%
𝑅1 𝑅2 𝑅3 𝑅4
: 𝐴𝑛⌉𝑈𝐷𝐼,$ = + 2+ 3+ 4
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )
71

⟹ 𝐴𝑛⌉ = + +
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )
+
(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )
1,242,002.342 1,446,932.729
⟹ 𝐴𝑛⌉ = +
(1 + 0.3039) (1 + 0.3039)(1 + 0.287325)
1,779,727.256
+
(1 + 0.3039)(1 + 0.287325)(1 + 0.35915)
2,313,645.433
+
(1 + 0.3039)(1 + 0.287325)(1 + 0.35915)(1 + 0.4365)
⟹ 𝐴𝑛⌉ = 952,528.8304 + 862,017.0415 + 780,105.9196 + 705,978.2078
∴ 𝐴𝑛⌉ = $3,300,630

n NCPI UDI Value
0 116.2480000000000000 $ 5.50
1 133.9176960000000000 $ 6.336
2 155.4784450560000000 $ 7.356096
3 183.9310005012480000 $ 8.702261568
4 216.1189255889660000 $ 10.22515734
72
Amortization Table.

of Capital
(IB) (R) (I) (FB)
(AC)
1 $4,200,520 $1,907,447.56 $1,219,158.92 $688,288.638 $3,512,231.36

3 5 2
2 $3,512,231.36 $1,934,797.71 $1,054,793.32 $880,004.387 $2,632,226.97

2 3 5
3 $2,632,226.97 $1,987,528.59 $855,368.4778 $1,132,160.11 $1,500,066.86

5 2 3
4 $1,500,066.86 $1,974,087.99 $474,021.1287 $1,500,066.86 -

3 2 3
Data:

inflation
(%)
0 116.2480000000000000 … $5.50
73
1 133.9176960000000000 15.2% 𝑉𝑈𝐷𝐼,1 = (1 + 0.152)(5.50) = $6.336
2 155.4784450560000000 16.1% 𝑉𝑈𝐷𝐼,2 = (1 + 0.161)(6.336)

= $7.356096
3 183.9310005012480000 18.3% 𝑉𝑈𝐷𝐼,3 = (1 + 0.183)(7.356096)

= $8.702261568
4 216.1189255889660000 17.5% 𝑉𝑈𝐷𝐼,4 = (1 + 0.175)(8.702261568)

= $10.22515734
A)
𝐴𝑛 = $4,200,520.00; 𝑟 = 12% ; 𝑛 = 4
: 𝜋 = [( ) − 1] (100)
133.917696
⟹ 𝜋1 = [( ) − 1] (100) ; ∴ 𝜋1 = 15.2%
116.248
155.478445056
⟹ 𝜋2 = [( ) − 1] (100) ; ∴ 𝜋2 = 16.1%
133.917696
183.931000501248
⟹ 𝜋3 = [( ) − 1] (100) ; ∴ 𝜋3 = 18.3%
155.478445056
216.118925588966
⟹ 𝜋4 = [( ) − 1] (100) ; ∴ 𝜋4 = 17.5%
183.931000501248
B)
: 1 − 𝜋 = 𝑟(1 + 𝜋) ⟹ 𝑖 = 𝑟(1 + 𝜋) + 𝜋
⟹ 𝑖1 = 0.12(1 + 0.152) + 0.152 ; ∴ 𝑖1 = 29.024%

⟹ 𝑖2 = 0.12(1 + 0.161) + 0.161 ; ∴ 𝑖2 = 30.032%
⟹ 𝑖3 = 0.12(1 + 0.183) + 0.183 ; ∴ 𝑖3 = 32.496%
⟹ 𝑖4 = 0.12(1 + 0.175) + 0.175 ; ∴ 𝑖4 = 31.6%

1°
74
Data:
𝐴𝑛 = $4,200,520; 𝑖1 = 29.024% ; 𝑛 = 4
𝑖𝑝 𝐴𝑛 (0.29024)(4,200,520)
:𝑅 = −𝑛 ;⟹ 𝑅 = ; ∴ 𝑅 = $1,907,447.563
1 − (1 + 𝑖𝑝 ) 1 − (1 + 0.29024)−4
1.2°
: 𝑀 = 𝐶 [1 + ( )] ∧ 𝐼 = 𝑀 − 𝐶 ⟹ 𝐼 = 𝐶 [1 + ( )] − 𝐶 ⟹ 𝐼
𝑝 𝑝
Data:
𝐴𝑛 = 𝐶1 = $4,200,520 ; 𝑖1 = 29.024% ; 𝑛 = 4
0.29024
⟹ 𝐼1 = 4,200,520 [1 + ( )] − 4,200,520 ; ∴ 𝐼1 = $1,219,158.925
1
1.3°
: 𝐴𝐶1 = 𝑅1 − 𝐼1 ; ⟹ 𝐴𝐶1 = 1,907,447.563 − 1,219,158.925; ∴ 𝐴𝐶1 = $688,288.638
1.4°
: 𝐹𝐵1 = 𝐼𝐵1 − 𝐴𝐶1 ; ⟹ 𝐹𝐵1 = 4,200,520 − 688,288.638 ; ∴ 𝐹𝐵1 = $3,512,231.362

2°
Data:
𝐴𝑛 = 𝐹𝐵1 = $3,512,231.362 ; 𝑖2 = 30.032% ; 𝑛 = 3
𝑖𝑝 𝐴𝑛 (0.30032)(3,512,231.362 )
: 𝑅2 = −𝑛 ; ⟹ 𝑅2 = ; ∴ 𝑅2 = $1,934,797.71
1 − (1 + 𝑖𝑝 ) 1 − (1 + 0.30032)−3
2.2°
: 𝑀 = 𝐶 [1 + ( )] ∧ 𝐼 = 𝑀 − 𝐶 ⟹ 𝐼 = 𝐶 [1 + ( )] − 𝐶 ⟹ 𝐼
𝑝 𝑝
Data:
𝐴𝑛 = 𝐶2 = $3,512,231.362 ; 𝑖2 = 30.032% ; 𝑛 = 3
75
0.30032
⟹ 𝐼2 = 3,512,231.362 [1 + ( )] − 3,512,231.362 ; ∴ 𝐼2 = $1,054,793.323
1
2.3°
: 𝐴𝐶2 = 𝑅2 − 𝐼2 ; ⟹ 𝐴𝐶2 = 1,934,797.71 − 1,054,793.323; ∴ 𝐴𝐶2 = $880,004.387
2.4°
: 𝐹𝐵2 = 𝐹𝐵1 − 𝐴𝐶2 ; ⟹ 𝐹𝐵2 = 3,512,231.362
−880,004.387
∴ 𝐹𝐵2 = $2,632,226.975

3°
Data:
𝐴𝑛 = 𝐹𝐵2 = $2,632,226.975 ; 𝑖3 = 32.496% ; 𝑛 = 2
𝑖𝑝 𝐴𝑛 (0.32496)(2,632,226.975)
: 𝑅3 = −𝑛 ; ⟹ 𝑅3 = ; ∴ 𝑅3 = $1,987,528.59
1 − (1 + 𝑖𝑝 ) 1 − (1 + 0.32496)−2
3.2°
: 𝑀 = 𝐶 [1 + ( )] ∧ 𝐼 = 𝑀 − 𝐶 ⟹ 𝐼 = 𝐶 [1 + ( )] − 𝐶 ⟹ 𝐼
𝑝 𝑝
Data:
𝐴𝑛 = 𝐶3 = $2,632,226.975 ; 𝑖3 = 32.496% ; 𝑛 = 2
0.32496
⟹ 𝐼3 = 2,632,226.975 [1 + ( )] − 2,632,226.975 ; ∴ 𝐼3 = $855,368.4778
1
3.3°
: 𝐴𝐶3 = 𝑅3 − 𝐼3 ; ⟹ 𝐴𝐶3 = 1,987,528.59 − 855,368.4778; ∴ 𝐴𝐶3 = $1,132,160.112
3.4°
: 𝐹𝐵3 = 𝐹𝐵2 − 𝐴𝐶3 ; ⟹ 𝐹𝐵3 = 2,632,226.975 − 1,132,160.112

∴ 𝐹𝐵3 = $1,500,066.863
76

4°
Data:
𝐴𝑛 = 𝐹𝐵3 = $1,500,066.863; 𝑖4 = 31.6% ; 𝑛 = 1
𝑖𝑝 𝐴𝑛 (0.316)(1,500,066.863)
: 𝑅4 = −𝑛 ; ⟹ 𝑅4 = ; ∴ 𝑅4 = $1,974,087.992
1 − (1 + 𝑖𝑝 ) 1 − (1 + 0.316)−1
4.2°
: 𝑀 = 𝐶 [1 + ( )] ∧ 𝐼 = 𝑀 − 𝐶 ⟹ 𝐼 = 𝐶 [1 + ( )] − 𝐶 ⟹ 𝐼
𝑝 𝑝
Data:
𝐴𝑛 = 𝐶4 = $1,500,066.863; 𝑖4 = 31.6% ; 𝑛 = 1
0.316
⟹ 𝐼4 = 1,500,066.863 [1 + ( )] − 1,500,066.863; ∴ 𝐼4 = $474,021.1287
1
4.3°
: 𝐴𝐶4 = 𝑅4 − 𝐼4 ; ⟹ 𝐴𝐶4 = 1,974,087.992 − 474,021.1287 ; ∴ 𝐴𝐶4 = $1,500,066.863
4.4°
: 𝐹𝐵4 = 𝐹𝐵3 − 𝐴𝐶4 ; ⟹ 𝐹𝐵4 = 1,500,066.863 − 1,500,066.863

∴ 𝐹𝐵4 = $ −
Amortization Table.

of Capital
(IB) (R) (I) (FB)
(AC)
1 $4,200,520 $1,907,447.56 $1,219,158.92 $688,288.638 $3,512,231.36

3 5 2
77
2 $3,512,231.36 $1,934,797.71 $1,054,793.32 $880,004.387 $2,632,226.97

2 3 5
3 $2,632,226.97 $1,987,528.59 $855,368.4778 $1,132,160.11 $1,500,066.86

5 2 3
4 $1,500,066.86 $1,974,087.99 $474,021.1287 $1,500,066.86 -

3 2 3
d)
𝐴𝑛⌉ 4,200,520
e)
Data:
𝐴𝑛⌉,𝑈𝐷𝐼 = 763,730.9091 𝑈𝐷𝐼𝑆 ; 𝑟𝑈𝐷𝐼 = 12% ; 𝑛 = 4

𝑟𝑈𝐷𝐼 𝐴𝑛⌉,𝑈𝐷𝐼 (0.12)(763,730.9091)
: 𝑅𝑈𝐷𝐼 = −𝑛
; ⟹ 𝑅𝑈𝐷𝐼 = ; ∴ 𝑅𝑈𝐷𝐼
1 − (1 + 𝑟𝑈𝐷𝐼 ) 1 − (1 + 0.12)−4
= 251,446.5153 𝑈𝐷𝐼𝑆

UDIS
1 251,446.5153 $ 6.336 𝑉𝑈𝐷𝐼,$,1 = (251,446.5153)(6.336)

= $1,593,165.121
2 251,446.5153 $ 7.356096 𝑉𝑈𝐷𝐼,$,2 = (251,446.5153)(7.356096)

= $1,849,664.705
3 251,446.5153 $ 8.702261568 𝑉𝑈𝐷𝐼,$,3 = (251,446.5153)(8.702261568)

= $2,188,153.347
78
4 251,446.5153 $ 10.22515734 𝑉𝑈𝐷𝐼,$,4 = (251,446.5153)(10.22515734)

= $2,571,080.182
g)
Data:
𝑅1 = $1,907,447.563; 𝑅2 = $1,934,797.71; 𝑅3 = $1,987,528.59 ; 𝑅4 = $1,974,087.992

𝑖1 = 29.024% ; 𝑖2 = 30.032% ; 𝑖3 = 32.496% ; 𝑖4 = 31.6%
𝑅1 𝑅2 𝑅3 𝑅4
: 𝐴𝑛⌉ = + 2 + 3 + 4
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )
𝑅1 𝑅2 𝑅3
⟹ 𝐴𝑛⌉ = + +
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )
𝑅4
+
(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )
1,907,447.563 1,934,797.71
⟹ 𝐴𝑛⌉ = +
(1 + 0.29024) (1 + 0.29024)(1 + 0.30032)
1,987,528.59
+
(1 + 0.29024)(1 + 0.30032)(1 + 0.32496)
1,974,087.992
+
(1 + 0.29024)(1 + 0.30032)(1 + 0.32496)(1 + 0.316)
⟹ 𝐴𝑛⌉ = 1,478,366.477 + 1,153,227.05 + 894,107.7784 + 674,818.6956
∴ 𝐴𝑛⌉ = $4,200,520
𝑉𝑈𝐷𝐼,$,1 = $1,593,165.121 ; 𝑉𝑈𝐷𝐼,$,2 = $1,849,664.705 ; 𝑉𝑈𝐷𝐼,$,3

= $2,188,153.347 ; 𝑉𝑈𝐷𝐼,$,4= $2,571,080.182
𝑖1 = 29.024% ; 𝑖2 = 30.032% ; 𝑖3 = 32.496% ; 𝑖4 = 31.6%
𝑅1 𝑅2 𝑅3 𝑅4
: 𝐴𝑛⌉𝑈𝐷𝐼,$ = + 2+ 3+ 4
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )
⟹ 𝐴𝑛⌉ = + +
(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )
+
(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )(1 + 𝑖𝑝 )
79
1,593,165.121 1,849,664.705
⟹ 𝐴𝑛⌉ = +
(1 + 0.29024) (1 + 0.29024)(1 + 0.30032)
2,188,153.347
+
(1 + 0.29024)(1 + 0.30032)(1 + 0.32496)
2,571,080.182
+
(1 + 0.29024)(1 + 0.30032)(1 + 0.32496)(1 + 0.316)
⟹ 𝐴𝑛⌉ = 1,234,781.995 + 1,102,483.924 + 984,360.6466 + 878,893.4342
∴ 𝐴𝑛⌉ = $4,200,520
80
V. BONDS AND UDIBONDS

3. On Thursday, March 5, 2020, the Federal Government issues Bonds with the
following characteristics:
o Nominal Value: $100.00

o Date of issue: March 5, 2020
o Expiration date: March 1, 2023
o Title days to expire: 1092 days
o Coupon: 6.39%
o Coupon term: 182 days
On March 12, 2020, the Federal Government decides to auction Bonds issued on
March 5, 2020. The settlement date of the results of said auction is March 19. The
security will be auctioned in the same way as it was placed when it was issued, that
is, at a "clean price", for which the interest earned from the prime coupon must be
added to the allocation price to calculate the liquidation of the results.
Suppose that an investor wants to participate in the auction of these titles presenting
a bid that is equivalent to an annual return of 6.99%.
a) Determine the clean price.
b) Calculate the accrued interest.
c) How much will the investor have to pay for each title?
Data:
𝑁𝑉 = 100 ; ∶ 𝑑 = 𝑑𝑎𝑡𝑒 𝑜𝑓 𝑖𝑠𝑠𝑢𝑒𝑠 𝑡𝑜 𝑙𝑖𝑞𝑢𝑖𝑡𝑎𝑡𝑖𝑜𝑛 𝑑𝑎𝑡𝑒 ⟹ 𝑑 = 14 𝑑𝑎𝑦𝑠 ; 𝑇𝐶

= 0.0639
𝑟 = 0.0699
1 1 𝑁𝑉
𝐶 + 𝐶 [𝑅 − ]+ 𝑑
𝑅(1 + 𝑅)𝐾−1 (1 + 𝑅)𝐾−1
:𝑃 = { 𝑑 }−𝐶( )
182
(1 + 𝑅)[1−(182)]
182 ∗ TC (182)(0.0639) 6461

: C = VN ( ) ⟹ C = 100 [ ]; ∴ C = ( )
360 360 2000
81
182 182 21203

:R = r( ) ⟹ R = 0.0699 ( ); ∴ R = ( )
360 360 600000
1092 𝑑 14 12
K − 1 = [( ) − 1] = 5 ; [1 − ( )] = [1 − ( )] = ( )
182 182 182 13
6461 6461 1 1 100

(2000) + (2000) [ 21203 − 5] +
(600000) ( 21203 ) (1 + 21203 ) 21203 5
(1 +
:P = 600000 600000 600000)
12
21203 (13)
(1 + 600000)
{ }
6461 14
−(
)( )
2000 182
6461 6461 600000
(2000) + (2000) [ 21203 − 23.78715305 ] + 84.05983435 497
⟹P=[ ]−( )
1.032576216 2000
6461
(2000) + (14.57191108) + 84.05983435 497
⟹P=[ ]−( )
1.032576216 2000
101.8622454 497
⟹P=( )−( ) ⟹ P = 98.40014584 ; ∴ P = $98.40015
1.032576216 2000
: 𝑃𝑠 = P + 𝐼𝑑𝑒𝑣
𝑑 𝑇𝐶 (14)(0.0639 ) 497
: 𝐼𝑑𝑒𝑣 = VN ( ) ⟹ 𝐼𝑑𝑒𝑣 = 100 [ ] ; ∴ 𝐼𝑑𝑒𝑣 = ( )
360 360 2000
497
⟹ 𝑃𝑠 = 98.40015 + ( ) ; ∴ 𝑃𝑠 = $98.64865
2000
6. On Thursday, June 11, 2020, the Federal Government issues Bonds with
the following characteristics:
o Nominal Value: $100.00

o Date of placement: June 11, 2020
o Expiration date: June 08, 2023
o Days to expire of the title: 1092 days
o Coupon: 15.79%
82
On June 18, 2020, the Federal Government decides to auction Bonds issued on
June 11, 2020. The settlement date of the results of this auction is June 25. The title
will be auctioned in the same way as it was placed when it was issued, that is, at a
clean price", so the interest of the prime coupon must be added to the allocation
price to calculate the settlement of the results.
Suppose, an investor wants to participate in the auction of these securities by

presenting a position that is equivalent to an annual return of 16.35%.
a) Determine the clean price.
b) Calculate accrued interest
c) How much will the investor have to pay for each security?
Data:
𝑁𝑉 = $100 ; 𝑇𝐶 = 0.1579 ; 𝑟 = 0.1635
∶ 𝑑 = 𝑑𝑎𝑡𝑒 𝑜𝑓 𝑖𝑠𝑠𝑢𝑒𝑠 𝑡𝑜 𝑙𝑖𝑞𝑢𝑖𝑡𝑎𝑡𝑖𝑜𝑛 𝑑𝑎𝑡𝑒 ⟹ 𝑑 = 11/06/20 𝑡𝑜 25/06/20 ⟹ 𝑑

= 14 𝑑𝑎𝑦𝑠
1 1 𝑁𝑉
𝐶 + 𝐶 [𝑅 − 𝐾−1 ]+ 𝑑
𝑅(1 + 𝑅) (1 + 𝑅)𝐾−1
:𝑃 = { 𝑑 }−𝐶( )
182
(1 + 𝑅)[1−(182)]
(182)(𝑇𝐶) (182)(0.1579) 143689

: 𝐶 = 𝑁𝑉 [ ] ⟹ 𝐶 = 100 [ ];∴ 𝐶 =
360 360 18000
182 182 9919

:𝑅 = 𝑟( ) ⟹ 𝑅 = 0.1635 ( );∴ 𝑅 =
360 360 120000
𝑑 14 12
[1 − ( )] = [1 − ( )] =
182 182 13
1 1 𝑁𝑉
𝐶 + 𝐶 [𝑅 − 𝐾−1 ]+ 𝑑
𝑅(1 + 𝑅) (1 + 𝑅)𝐾−1
:𝑃 = { 𝑑 }−𝐶( )
182
(1 + 𝑅)[1−(182)]
83
143689 143689 1 1 100

18000 + 18000 [ 9919 − 9919 9919 5] +
9919 5
(1 + ) (1 +
⟹𝑃=
120000 120000 120000 120000)
12
9919 13
(1 + 120000)
{ }
143689 14
− ( )
18000 182
143689 143689
+ 18000 (12.09799375 − 8.133102404) + 67.22686895
⟹ 𝑃 = [ 18000 ]
1.076064333
143689
−( )
18000
143689
+ 31.65062626 + 67.22686895 143689
⟹ 𝑃 = ( 18000 )−( )
1.076064333 18000
106.8602174 143689
⟹𝑃=( )−( ) ⟹ P = 98.69247674
1.076064333 18000
∴ 𝑃 = $98.69247
(𝑑)(𝑇𝑐) (14)(0.1579) 11053
: 𝐼𝑑𝑒𝑣 = 𝑁𝑉 [ ] ⟹ 𝐼𝑑𝑒𝑣 = 100 [ ] ; ∴ 𝐼𝑑𝑒𝑣 = ( )
360 360 18000
11053
: 𝑃𝑠 = 𝑃 + 𝐼𝑑𝑒𝑣 ⟹ 𝑃𝑠 = 98.69247 + ( ) ⟹ 𝑃𝑠 = 99.30652556
18000
∴ 𝑃𝑠 = $99.30653
11. On May 7, 2020, the Federal Government issues UDIBONDS with the
following characteristics:
o Nominal Value: 100 UDIS

o Placement Date: May 07, 2020
o Maturity Date: April 24, 2030
o Title days to expire: 3640 days
o Coupon: 17.21%
84
On May 21, 2020, the Federal Government decides to auction UDIBONOS issued
on May 7, 2020. The settlement date of the results of said auction is May 28, 2020.
The title will be auctioned in the same way as it was placed, i.e., at a clean price.
Suppose that an investor wants to participate in the auction of these titles presenting
a bid that is equivalent to an annual yield of 17.83% in UDIS.
a) Calculate the clean price of UDIBONO.
b) Determine the accrued interest.
c) Calculate the dirty price of UDIBONO.
𝑉𝑁 = 100 ; 𝑑 = 𝑑𝑎𝑡𝑒 𝑜𝑓 𝑖𝑠𝑠𝑢𝑒𝑠 𝑡𝑜 𝑙𝑖𝑞𝑢𝑖𝑡𝑎𝑡𝑖𝑜𝑛 𝑑𝑎𝑡𝑒 ⟹ 𝑑 = 21 𝑑𝑎𝑦𝑠 ; 𝑇𝐶 = 0.1721

𝑟 = 0.1783
1 1 VN
C + C [R − ]+ d
R(1 + R)k−1 (1 + R)k−1
:P = { d
}− C( )
[1−( )] 182
(1 + R) 182
182 ∗ TC (182)(0.1721) 156611

: C = VN ( ) ⟹ C = 100 [ ] ; ∴C=( )
360 360 18000
182 182 162253
:R = r( ) ⟹ R = 0.1783 ( ) ; ∴R=( )
360 360 1800000
3640 𝑑 21 23
K − 1 = [( ) − 1] = 19 ; [1 − ( )] = [1 − ( )] = ( )
182 182 182 26
:𝑃
156611 156611 1 1 100

( 18000 ) + ( 18000 ) [ − 19 ] +
(
162253
) ( 162253 ) (1 + 162253 ) 162253 19
1800000 (1 + 1800000)
= 1800000 1800000
23
162253 (26)
(1 + 1800000)
{ }
156611 21
−( )( )
18000 182
156611 156611
( 18000 ) + ( 18000 ) (8.941438411) + 19.40137742 12047
:𝑃 = [ ]−( )
1.079338312 12000
85
156611
( 18000 ) + (77.79597839) + 19.40137742 12047
:𝑃 = [ ]−( )
1.079338312 12000
105.8979669 12047
:𝑃 = ( )−( ) ⟹ 𝑃 = 97.10986812 ; ∴ 𝑃 = 97.10987 𝑈𝐷𝐼𝑆
1.079338312 12000
: 𝑃𝑠 = P + 𝐼𝑑𝑒𝑣
𝑑 𝑇𝐶 (21)(0.1721) 12047
: 𝐼𝑑𝑒𝑣 = VN ( ) ⟹ 𝐼𝑑𝑒𝑣 = 100 [ ] ; ∴ 𝐼𝑑𝑒𝑣 = ( )
360 360 12000
12047
⟹ 𝑃𝑠 = 97.10987 + ( ) ⟹ 𝑃𝑠 = 98.11378667 ; ∴ 𝑃𝑠 = 98.11379 𝑈𝐷𝐼𝑆
12000
86
ATTACHED
Attaced 1. Present value of an annuity advanced.
Let be:
𝑅2 𝑅3 𝑅𝑛
𝐴𝑎⌉𝑛 = 𝑅1 + 1
+ 2
+ ⋯+ (1)
(1 + 𝑖𝑃 ) (1 + 𝑖𝑃 ) (1 + 𝑖𝑃 )𝑛−1
⟺ 𝑅1 = ⋯ = 𝑅𝑛 = 𝑅 (2)
𝑅 𝑅 𝑅
𝐴𝑎⌉𝑛 = 𝑅 + + + ⋯+
(1 + 𝑖𝑃 )1 (1 + 𝑖𝑃 )2 (1 + 𝑖𝑃 )𝑛−1
1 2 𝑛−1
1 1 1
∴ 𝐴𝑎⌉𝑛 = 𝑅 [1 + ( ) +( ) +⋯+( ) ] (3)
1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃
1
So;(1+𝑖 ) (3), we have:
𝑃
1 2 𝑛−1
1 1 1 1 1
( ) 𝐴𝑎⌉𝑛 = ( ) 𝑅 [1 + ( ) +( ) + ⋯+ ( ) ]
1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃
1 2 𝑛−1
1 1 1 1 1 1 1 1
( ) 𝐴𝑎⌉𝑛 = 𝑅 [( ) (1) + ( )( ) +( )( ) + ⋯+ ( )( ) ]
1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃
2 3 𝑛
1 1 1 1 1
∴( ) 𝐴𝑎⌉𝑛 = 𝑅 [( )+( ) +( ) + ⋯+ ( ) ] (4)
1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃
Then (3) − (4) ∧ solving:

87
1
𝐴𝑎⌉𝑛 − ( )𝐴
1 + 𝑖𝑃 𝑎⌉𝑛
1 2 𝑛−1 2 3 𝑛
1 1 1 1 1 1 1
= 𝑅 [1 + ( ) +( ) + ⋯+ ( ) ] − 𝑅 [( )+( ) +( ) + ⋯+ ( ) ]
1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃
1
[1 − ( )] 𝐴𝑎⌉𝑛
1 + 𝑖𝑃
1 2 𝑛−1 2 3 𝑛
1 1 1 1 1 1 1
= 𝑅 {[1 + ( ) +( ) +⋯+( ) ] − [( )+( ) +( ) +⋯+( ) ]}
1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃
1 2 2 3 𝑛−1 𝑛
1 + 𝑖𝑃 1 1 1 1 1 1 1 1
( − ) 𝐴𝑎⌉𝑛 = 𝑅 [1 − ( )+( ) −( ) +( ) −( ) +⋯+( ) −( ) ]
1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃 1 + 𝑖𝑃
1 + 𝑖𝑃 − 1 1 𝑖𝑃
⟹( ) 𝐴𝑎⌉𝑛 = 𝑅 [1 − 𝑛
]⟹( ) 𝐴𝑎⌉𝑛 = 𝑅[1 − (1 + 𝑖𝑃 )−𝑛 ]
1 + 𝑖𝑃 (1 + 𝑖𝑃 ) 1 + 𝑖𝑃
1 + 𝑖𝑃 (1 + 𝑖𝑃 )[1 − (1 + 𝑖𝑃 )−𝑛 ]
⟹ 𝐴𝑎⌉𝑛 = ( ) 𝑅[1 − (1 + 𝑖𝑃 )−𝑛 ] ⟹ 𝐴𝑎⌉𝑛 = 𝑅 { }
𝑖𝑃 𝑖𝑃
(1 + 𝑖𝑃 )(1) − (1 + 𝑖𝑃 )(1 + 𝑖𝑃 )−𝑛 (1 + 𝑖𝑃 ) − (1 + 𝑖𝑃 )1−𝑛
⟹ 𝐴𝑎⌉𝑛 = 𝑅 [ ] = 𝑅[ ]
𝑖𝑃 𝑖𝑃
: 1 − 𝑛 = −(𝑛 − 1)
(1 + 𝑖𝑃 ) − (1 + 𝑖𝑃 )−(𝑛−1)
∴ 𝐴𝑎⌉𝑛 = 𝑅 [ ] = 𝑅𝑎𝑎⌉𝑛 (5)
𝑖𝑃
(1 + 𝑖𝑃 ) − (1 + 𝑖𝑃 )−(𝑛−1)
∴ 𝑎𝑎⌉𝑛 = [ ] (6)
𝑖𝑃
88
Attaced 2. Future value of an annuity advanced.
Let be:
𝑛 𝑛−1 2 1
𝑆𝑎⌉𝑛 = 𝑅1 (1 + 𝑖𝑝 ) +𝑅2 (1 + 𝑖𝑝 ) + ⋯ + 𝑅𝑛−1 (1 + 𝑖𝑝 ) + 𝑅𝑛 (1 + 𝑖𝑝 ) (1)
1 𝑛−2 𝑛−1 𝑛
= 𝑅(1 + 𝑖𝑝 ) +𝑅𝑛−1 (1 + 𝑖𝑝 ) + ⋯ + 𝑅2 (1 + 𝑖𝑝 ) +𝑅1 (1 + 𝑖𝑝 )
⟺ 𝑅1 = 𝑅𝑛 = 𝑅 (2)
1 2 𝑛−1 𝑛
⟹ 𝑆𝑎⌉𝑛 = 𝑅(1 + 𝑖𝑝 ) + 𝑅(1 + 𝑖𝑝 ) + ⋯ + 𝑅(1 + 𝑖𝑝 ) + 𝑅(1 + 𝑖𝑝 )
1 2 𝑛−1 𝑛
∴ 𝑆𝑎⌉𝑛 = 𝑅 [(1 + 𝑖𝑝 ) + (1 + 𝑖𝑝 ) + ⋯ + (1 + 𝑖𝑝 ) + (1 + 𝑖𝑝 ) ] (3)
Now (1 + 𝑖𝑝 )(3) ∧ solving:

1 2 𝑛−1 𝑛
(1 + 𝑖𝑝 )𝑆𝑎⌉𝑛 = (1 + 𝑖𝑝 )𝑅 [(1 + 𝑖𝑝 ) + (1 + 𝑖𝑝 ) + ⋯ + (1 + 𝑖𝑝 ) + (1 + 𝑖𝑝 ) ]
1 2 𝑛−1 𝑛
= 𝑅 [(1 + 𝑖𝑝 )(1 + 𝑖𝑝 ) + (1 + 𝑖𝑝 )(1 + 𝑖𝑝 ) + ⋯ + (1 + 𝑖𝑝 )(1 + 𝑖𝑝 ) (1 + 𝑖𝑝 )(1 + 𝑖𝑝 ) ]
2 3 𝑛 𝑛+1
∴ (1 + 𝑖𝑝 )𝑆𝑎⌉𝑛 = 𝑅 [(1 + 𝑖𝑝 ) + (1 + 𝑖𝑝 ) + ⋯ + (1 + 𝑖𝑝 ) + (1 + 𝑖𝑝 ) ] (4)
Then, (3) − (4), we obtain:
𝑆𝑎⌉𝑛 − (1 + 𝑖𝑝 )𝑆𝑎⌉𝑛
1 2 𝑛−1 𝑛
= 𝑅 [(1 + 𝑖𝑝 ) + (1 + 𝑖𝑝 ) + ⋯ + (1 + 𝑖𝑝 ) + (1 + 𝑖𝑝 ) ]
2 3 𝑛 𝑛+1
− 𝑅 [(1 + 𝑖𝑝 ) + (1 + 𝑖𝑝 ) + ⋯ + (1 + 𝑖𝑝 ) + (1 + 𝑖𝑝 ) ]
89
[1 − (1 + 𝑖𝑝 )]𝑆𝑎⌉𝑛
1 2 𝑛−1 𝑛
= 𝑅 {[(1 + 𝑖𝑝 ) + (1 + 𝑖𝑝 ) + ⋯ + (1 + 𝑖𝑝 ) + (1 + 𝑖𝑝 ) ]
2 3 𝑛 𝑛+1
− [(1 + 𝑖𝑝 ) + (1 + 𝑖𝑝 ) + ⋯ + (1 + 𝑖𝑝 ) + (1 + 𝑖𝑝 ) ]}
1 2 2 3 𝑛−1 𝑛 𝑛 𝑛+1
(1 − 1 − 𝑖𝑝 )𝑆𝑎⌉𝑛 = R [(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 ) + (1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 ) + ⋯ + (1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 ) + (1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 ) ]
𝑛+1 𝑛+1
⟹ −𝑖𝑝 𝑆𝑎⌉𝑛 = R [(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 ) ] ⟹ −𝑖𝑝 𝑆𝑎⌉𝑛 = −R [(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )] ∶ (−)(−) = +
𝑛+1
𝑛+1 (1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
⟹ 𝑖𝑝 𝑆𝑎⌉𝑛 = R [(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )] ; ∴ 𝑆𝑎⌉𝑛 = 𝑅 [ ] (5)
𝑖𝑝
𝑛+1 𝑛
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 )
∴ 𝑆𝑎⌉𝑛 = [ ]=[ ]
𝑖𝑝 𝑖𝑝
𝑛
(1 + 𝑖𝑝 ) − 1
= (1 + 𝑖𝑝 ) [ ] (6)
𝑖𝑝
𝑛+1 𝑛
(1 + 𝑖𝑝 ) − (1 + 𝑖𝑝 ) (1 + 𝑖𝑝 ) − 1
∴ 𝑆𝑎⌉𝑛 = R [ ] = (1 + 𝑖𝑝 )R [ ] = 𝑅𝑠𝑎⌉𝑛 (7)
𝑖𝑝 𝑖𝑝
90
Attaced 3. Deductions.
A. Theorical price of a bond.
NV
𝑃𝑏 𝐶1 𝐶2 𝐶𝑛−1 𝐶𝑛 𝐶𝑛
0 1 2 𝑛−1 𝑛
Let be:
𝐶1 𝐶2 𝐶𝑛 𝑁𝑉
𝑃𝑏 = + + ⋯ + + (1)
(1 + 𝑟)1 (1 + 𝑟)2 (1 + 𝑟)𝑛 (1 + 𝑟)𝑛
⟺ 𝐶1 = 𝐶2 = ⋯ = 𝐶𝑛 = 𝐶 (2)
𝐶 𝐶 𝐶 𝑁𝑉
⟹ 𝑃𝑏 = + + ⋯ + +
(1 + 𝑟)1 (1 + 𝑟)2 (1 + 𝑟)𝑛 (1 + 𝑟)𝑛
1 1 1 2 1 𝑛 𝑁𝑉
∴ 𝑃𝑏 = 𝐶 [( ) +( ) + ⋯+ ( ) ]+ (3)
1+𝑟 1+𝑟 1+𝑟 (1 + 𝑟)𝑛
Let be:
1 1 1 2 1 𝑛
𝛽=( ) +( ) + ⋯+ ( ) (4)
1+𝑟 1+𝑟 1+𝑟
1
So, (1+𝑟) (4) ∧ solving
1 1 1 1 1 2 1 𝑛
( )𝛽 = ( ) [( ) +( ) + ⋯+ ( ) ]
1+𝑟 1+𝑟 1+𝑟 1+𝑟 1+𝑟
91
1 1 1 1 1 2 1 1 𝑛
=( )( ) +( )( ) + ⋯+ ( )( )
1+𝑟 1+𝑟 1+r 1+𝑟 1+𝑟 1+𝑟
1 1 2 1 3 1 𝑛+1
∴( )𝛽 = ( ) +( ) + ⋯+ ( ) (5)
1+𝑟 1+𝑟 1+𝑟 1+𝑟
Then, (4) − (5) ∧ solving
1 1 1 1 2 1 2 1 3 1 𝑛 1 𝑛+1
⟹𝛽−( )𝛽 = ( ) −( ) +( ) −( ) + ⋯+ ( ) −( )
1+𝑟 1+𝑟 1+𝑟 1+𝑟 1+𝑟 1+𝑟 1+𝑟
1 1 1 𝑛+1 1+𝑟 1 1 1 1 1 1 𝑛
⟹ (1 − )𝛽 = ( )−( ) ⟹( − )𝛽 = ( ) −( ) ( )
1+𝑟 1+𝑟 1+𝑟 1+𝑟 1+𝑟 1+𝑟 1+𝑟 1+𝑟
1+𝑟−1 1 1 𝑟 1 (1 + 𝑟)𝑛 1
⟹( )𝛽 = ( ) [1 − ] ∶ 1 − 1 = 0 ⟹ ( ) 𝛽 = ( ) [ − ]
1+𝑟 1+𝑟 (1 + 𝑟)𝑛 1+𝑟 1 + 𝑟 (1 + 𝑟)𝑛 (1 + 𝑟)𝑛
1+𝑟 1 (1 + 𝑟)𝑛 − 1 (1 + 𝑟)𝑛 − 1
⟹𝛽=( )( )[ ] ; ∴ β = [ ] (6)
𝑟 1+𝑟 (1 + 𝑟)𝑛 𝑟(1 + 𝑟)𝑛
Substituting (6) in (3) ∧ solving, we have:
(1 + 𝑟)𝑛 − 1 𝑁𝑉 𝐶 (1 + 𝑟)𝑛 − 1 𝑁𝑉 𝐶 (1 + 𝑟)𝑛 1 𝑁𝑉

⟹ 𝑃𝑏 = C [ ] + = ( ) [ ] + = ( ) [ − ] +
𝑟(1 + 𝑟)𝑛 (1 + 𝑟)𝑛 𝑟 (1 + 𝑟)𝑛 (1 + 𝑟)𝑛 𝑟 (1 + 𝑟)𝑛 (1 + 𝑟)𝑛 (1 + 𝑟)𝑛
𝐶 1 𝑁𝑉 𝐶 𝐶 1 1 𝐶 1 1 𝐶
= ( ) [1 − ] + = ( ) 1 − ( ) + NV = ( ) + NV − ( )
𝑟 (1 + 𝑟)𝑛 (1 + 𝑟)𝑛 𝑟 𝑟 (1 + 𝑟)𝑛 (1 + 𝑟)𝑛 𝑟 (1 + 𝑟)𝑛 (1 + 𝑟)𝑛 𝑟
𝐶
𝐶 1 𝐶 𝐶 𝑁𝑉 − ( 𝑟 )
=( )+ [𝑁𝑉 − ( )] ; ∴ 𝑃𝑏 = ( ) + [ ] (7)
𝑟 (1 + 𝑟)𝑛 𝑟 𝑟 (1 + 𝑟)𝑛
92
Ex definitio:
𝑖 𝜌
𝐶 = ( ) 𝑁𝑉 (8) ∧ 𝑟=( ) (9)
𝑚 𝑚
Substituting (8) ∧ (9) 𝑖𝑛 (3) ∧ solving, we obtain:
𝑖𝑁𝑉
𝑖𝑁𝑉 𝑁𝑉 ( 𝑚𝜌 ) 𝑖𝑚𝑁𝑉 𝑖
𝑖𝑚𝑁𝑉 𝑁𝑉 − ( 𝑚𝜌 ) 𝑖 𝑁𝑉 − (𝜌) 𝑁𝑉
𝑚
⟹ 𝑃𝑏 = ( 𝑚
𝜌 ) + (1 + 𝑟)𝑛 = ( 𝑚𝜌 ) + [ (1 + 𝑟)𝑛 ] = (𝜌) 𝑁𝑉 + [ (1 + 𝑟)𝑛 ]
𝑚
[ ]
𝑖
𝑖 𝑁𝑉 [1 − (𝜌)]
∴ 𝑃𝑏 = NV ( ) + { } (10)
𝜌 (1 + 𝑟)𝑛
93
B. Bond price between coupon payment dates.
NV
Pf C1 C2 𝐶𝑛−1 𝐶𝑛
K
t
0 1 2 𝑛−1 𝑛
(1-δ) δ
NV
K
t
0 1 2 𝑛−1 𝑛
: 1 − (1 − δ) : 2 − (1 − δ) : 𝑛 − 1 − (1 − δ) : 𝑛 − (1 − δ)
=1−1+δ =2−1+δ =𝑛−1−1+δ = (𝑛 − 1) + δ
=δ = 1+δ = (𝑛 − 2) + δ
NV
t
𝜹 1+𝜹 (𝒏 − 2) + 𝜹 (𝒏 − 1) + 𝜹
Let be:
𝐶1 𝐶2 𝐶𝑛−2 𝐶𝑛−1 𝑁𝑉
𝑃𝑓 = + + ⋯ + + + (1)
(1 + 𝑟)𝛿 (1 + 𝑟)1+𝛿 (1 + 𝑟)(𝑛−2)+𝛿 (1 + 𝑟)(𝑛−1)+𝛿 (1 + 𝑟)(𝑛−1)+𝛿
Ex definitio:
𝑃𝑓 = 𝑃𝑏 + 𝐼𝑑𝑒𝑟 (2)
94
Now:
𝐶
𝐶 𝑁𝑉 − 𝑟
: 𝑃𝑏 = ( ) + [ ] (3) ⇔ 𝐶1 = 𝐶2 = ⋯ = 𝐶𝑛 = 𝐶 (4)
𝑟 (1 + 𝑟)𝑛
So:
𝐶 𝐶
𝑐 𝑁𝑉 − ( 𝑟 ) 𝑐 𝑁𝑉 − ( 𝑟 )
1−𝛿
𝑃𝑓 = {( ) + [ ]} (1 − 𝑟) = {( ) + [ ]} (1 + 𝑟)(1 + 𝑟)𝛿
𝑟 (1 + 𝑟)𝑛 𝑟 (1 + 𝑟)𝑛
𝐶 𝐶
𝑐 𝑁𝑉 − ( 𝑟 ) 1 𝑐 𝑁𝑉 − ( 𝑟 ) 1
⟹ {( ) + [ ]} (1 + 𝑟) [ ] = {𝐶 ( ) + [ ]}
𝑟 (1 + 𝑟)𝑛 (1 + 𝑟)𝛿 𝑟 (1 + 𝑟)𝑛−1 (1 + 𝑟)𝛿
𝐶 𝐶
𝑐 𝐶 𝑁𝑉 − ( 𝑟 ) 1 𝐶 𝑁𝑉 − ( 𝑟 ) 1
⟹ {( ) (1) + ( ) + [ 𝑛 −1 ]} 𝛿
= {𝐶 + ( ) + [ 𝑛−1 ]}
𝑟 𝑟 (1 + 𝑟) (1 + 𝑟) (1 + 𝑟) 𝑟 (1 + 𝑟) (1 + 𝑟)𝛿
𝐶
𝐶 𝑁𝑉 − ( )
𝐶 + (𝑟 ) + [ 𝑟 ]
(1 + 𝑟)𝑛−1
∴ 𝑃𝑓 = (5)
(1 + 𝑟)𝛿
{ }
Then:
⟺ 2 ⟹ 𝑃𝑏 = 𝑃𝑓 − 𝐼𝑑𝑒𝑟 (6)
Ex definitio:
𝐼𝑑𝑒𝑟 = (1 − 𝛿) 𝐶 (7)
95
Substituting: (5) ∧ (7) in (6)
𝐶
𝐶 𝑁𝑉 − ( )
𝐶 + (𝑟 ) + [ 𝑟 ]
(1 + 𝑟)𝑛−1
∴ 𝑃𝑏 = − (1 − 𝛿)𝐶 (8)
(1 + 𝑟)𝛿
{ }
C. Bonds.
NV
𝑃𝑏 𝐶1 𝐶2 𝐶𝑛−1 𝐶𝑛 𝐶𝑛
0 1 2 𝑛−1 𝑛
Let be:
𝐶1 𝐶2 𝐶𝑛−1 𝐶𝑛 𝑁𝑉
𝑃𝑏 = 1
+ 2
+ ⋯+ 𝑛−1
+ 𝑛
+ (1)
(1 + 𝑟) (1 + 𝑟) (1 + 𝑟) (1 + 𝑟) (1 + 𝑟)𝑛
⟺ 𝐶1 = 𝐶2 = ⋯ = 𝐶𝑛 = 𝐶 (2)
𝐶1 𝐶2 𝐶𝑛−1 𝐶𝑛 𝑁𝑉
∴ 𝑃𝑏 = 1
+ 2
+ ⋯+ 𝑛−1
+ 𝑛
+ (3)
(1 + 𝑟) (1 + 𝑟) (1 + 𝑟) (1 + 𝑟) (1 + 𝑟)𝑛
Ex definitio:
96
𝒾 𝜑
𝐶 = ( ) 𝑁𝑉 (4) ⋀ 𝑟( ) ( 5)
𝑚 𝑚
Assumption 1:
𝒾=𝜑 6
Substituting: (6) in (4) ⋀ (5) we obtain
𝒾 𝜑
∴ 𝐶 = ( ) 𝑁𝑉 = ( ) 𝑁𝑉 = 𝑟𝑁𝑉 (7)
𝑚 𝑚
Substituting (7) in (3) ⋀ solving
𝑟𝑁𝑉 𝑟𝑁𝑉 𝑟𝑁𝑉 𝑟𝑁𝑉 𝑟𝑁𝑉

⟹ 𝑃𝑏 = 1
+ 2
+⋯+ 𝑛−1
+ 𝑛
+
(1 + 𝑟) (1 + 𝑟) (1 + 𝑟) (1 + 𝑟) (1 + 𝑟)𝑛
𝑟𝑁𝑉 𝑟𝑁𝑉 𝑟𝑁𝑉 (1 + 𝑟)𝑁𝑉
∴ 𝑃𝑏 = 1
+ 2
+ ⋯+ 𝑛−1
+ (8)
(1 + 𝑟) (1 + 𝑟) (1 + 𝑟) (1 + 𝑟)𝑛
Now (1+r) (8) ⋀ solving:
𝑟(1 + 𝑟)𝑁𝑉 𝑟(1 + 𝑟)𝑁𝑉 𝑟(1 + 𝑟)𝑁𝑉 (1 + 𝑟)𝑁𝑉(1 + 𝑟)

⟹ (1 + 𝑟)𝑃𝑏 = + 2
+ ⋯+ +
(1 + 𝑟) (1 + 𝑟) (1 + 𝑟)𝑛−1 (1 + 𝑟)𝑛
𝑟𝑁𝑉 𝑟𝑁𝑉 (1 + 𝑟)𝑁𝑉
∴ (1 + 𝑟)𝑃𝑏 = 𝑟𝑁𝑉 + +⋯+ 𝑛−2
+ (9)
(1 + 𝑟) (1 + 𝑟) (1 + 𝑟)𝑛−1
Then (9) – (8) ⋀ solving:
𝑟𝑁𝑉 𝑟𝑁𝑉 𝑟𝑁𝑉 𝑟𝑁𝑉 𝑟𝑁𝑉 (1 + 𝑟)𝑁𝑉

⟹ (1 + 𝑟)𝑃𝑏 − 𝑃𝑏 = 𝑟𝑁𝑉 − 1
+ − 2
+ ⋯+ 𝑛−2
− 𝑛−1
+
(1 + 𝑟) (1 + 𝑟) (1 + 𝑟) (1 + 𝑟) (1 + 𝑟) (1 + 𝑟)𝑛−1
(1 + 𝑟)𝑁𝑉 𝑁𝑉 𝑟𝑁𝑉
⟹ 𝑃𝑏 + 𝑟𝑃𝑏 − 𝑃𝑏 = 𝑟𝑁𝑉 + 𝑛−1
− 𝑛−2
−
(1 + 𝑟) (1 + 𝑟) (1 + 𝑟)𝑛−1
97
(1 + 𝑟)𝑁𝑉 (1 + 𝑟)𝑁𝑉
⟹ 𝑟𝑃𝑏 = 𝑟𝑁𝑉 + 𝑛−1
−
(1 + 𝑟) (1 + 𝑟)𝑛−1
𝑟
⟹ 𝑟𝑃𝑏 = 𝑟𝑁𝑉 ⟹ 𝑃𝑏 = ( ) 𝑁𝑉 ; ∴ 𝑃𝑏 = 𝑁𝑉 (10)
𝑟
98
REFERENCES
Aguilera, A. D. (2013). Matematicas financieras Quinta edición. McGraw-Hill
Interamericana S.A.
Aguirre, H. M. (2017). Matemáticas financieras. Sexta edición. Cengage Learning

Editores, S.A. de C.V.
Franco, J. R. (2014). Matemáticas Financieras. C.D de México: Grupo Editorial

Patria.
Molinares, C. R. (2014). Fundamentos de Matemáticas financieras. Universidad

Libre Sede Cartagena.
Villalobos., J. L. (2017). Ejercicios Resueltos de matemática financieras. INTSIPP.
Cruz Romero, M. A. (Enero - Abril de 2023). "Matemáticas Financieras".

Universidad Politécnica Metropolitana de Hidalgo.

Amortización y Mercado de Dinero

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Amortización y Mercado de Dinero

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INDEX

I. LABORATORY #3B ................................................................................................. 1

II. LABORATORY #4 ................................................................................................. 14

III. AMORTIZATION OF LOANS IN PESOS AND IN UDIS I ..................................... 33

IV. AMORTIZATION OF LOANS IN PESOS AND IN UDIS II ................................... 49

V. BONDS AND UDIBONDS ..................................................................................... 80

9.3 60+1 9.3

2. Fernando buys an apartment that costs $3,315,000 cash. He gives an advance

𝐴𝑎⌉𝑛 = $3,315,000 ; 𝑖𝑝 = 10.8% 𝑚𝑜𝑛𝑡ℎ𝑙𝑦 ; 𝑛 = 300 𝑚𝑜𝑛𝑡ℎ𝑠

𝑆𝑎⌉𝑛 = $20,028 ; 𝑖𝑝 = 7.12% 𝑓𝑜𝑟𝑡𝑛𝑖𝑔ℎ𝑡 ; 𝑅 = $300

4. Mr. Arteaga is going to retire in 2 months. He has a pension fund of $438,765

𝑅 = $50,000 ; 𝑖𝑝 = 28% 𝑠𝑒𝑚𝑖𝑎𝑛𝑛𝑢𝑎𝑙𝑙𝑦 ; 𝑛 = 11 𝑠𝑒𝑚𝑒𝑠𝑡𝑒𝑟𝑠

What will be the amount of the account after 10 years?

8.4 120+1 8.4

∴ 𝑆𝑎⌉𝑛 = $659 382.7848

0.095 0.095 −(240−1)

∴ 𝐴𝑎⌉𝑛 = $1 946 346.205

𝑆𝑎⌉𝑛 = $19,750 ; 𝑛 = 4 ; 𝑖𝑝 = 1.8%

𝑆𝑎⌉𝑛 = $22 000 ; 𝑖𝑝 = 4% 𝑏𝑖𝑚𝑜𝑛𝑡ℎ𝑙𝑦 ; 𝑛 = 6 𝑏𝑖𝑚𝑜𝑛𝑡ℎ𝑙𝑦

0.36 12+1 0.36

𝑖𝑝 = 37.68% ; 𝑆𝑎⌉𝑛 = $7,075 ; 𝑅 = $725

21. Is deposited $100,000 in a savings bank at an interest rate of 4.8%

𝑅 = $100,000 ; 𝑖 = 4.8% ; 𝑛 = 30 ; 𝑝 = 9 𝑚𝑜𝑛𝑡ℎ𝑠

𝑅 = $1,500,000 ; 𝑖 = 12% ; 𝑛 = 12 ; 𝑝 = 12 𝑚𝑜𝑛𝑡ℎ𝑠

23. Is deposited $50,000 in a bank at an interest rate of 18% per year

𝑅 = $50,000 ; 𝑖 = 18% ; 𝑛 = 2 𝑦𝑒𝑎𝑟𝑠 ; 𝑝 = 12 𝑚𝑜𝑛𝑡ℎ𝑠

24. Is deposited $350,000 in a savings bank at an interest rate of 4.8%

𝑅 = $350,000 ; 𝑖 = 4.8% ; 𝑛 = 5 𝑚𝑜𝑛𝑡ℎ𝑠 ; 𝑝 = 5 𝑚𝑜𝑛𝑡ℎ𝑠

𝑆𝑎⌉𝑛 = $32, 125 ; 𝑛 = 6 ; 𝑖𝑝 = 2.5%

𝑖𝑝 = 25.3% ; 𝑆𝑎⌉𝑛 = $21, 530 ; 𝑅 = $500

𝑆𝑎⌉𝑛 = $35,000 ; 𝑖𝑝 = 5.3% 𝑏𝑖𝑚𝑜𝑛𝑡𝑙𝑦 ; 𝑛 = 5 𝑏𝑖𝑚𝑜𝑛𝑡𝑙𝑦

𝑅 = $200 ; 𝑖𝑝 = 40% 𝑎𝑛𝑛𝑢𝑎𝑙 ; 𝑛 = 10

0.40 10+1 0.40

3. A loan of $18,000 will be amortized through 6 equal monthly payments.

$50,950 $50,950 $50, 950

𝑅 = $2, 800 ; 𝑖 = 26% ; 𝑚 = 3 ; 𝑛 = 12

6. Antonio buys a desktop computer by paying 6 successive monthly payments of

$4,100 $4,100 $4,100

8. Mr. Estrada must pay a debt of $75,000 as follows: 5 consecutive monthly

9. Lizbet must pay a debt of $50,000 as follows: 6 consecutive monthly payments,

10. A debt of $8,000,000 is to be paid off through 18 quarterly payments of $A

charge her a monthly interest of 3.54%, capitalized each month?

$3,50 $325 $325 $325

Price $25,000 $25,000 $25,000

17. David Shaw today contracts a debt of $ 70,000 to 12% convertible

18. A loan of $20,000 will be amortized through 7 equal monthly payments.

19. A corporation obtains a loan of $850000 to be repaid after 10 years. The

20. The mode of use of architectural equipment just acquired by a corporate is 3

𝐼𝑛𝑖𝑡𝑖𝑎𝑙 𝑃𝑎𝑦𝑚𝑒𝑛𝑡 = $5, 000 ; 𝑅 = $4, 800 ; 𝑚 = 12 ; 𝑛 = 8 𝑝𝑎𝑦𝑚𝑒𝑛𝑡𝑠 ; 𝑖 = 19.56 %

𝐴𝑛⌉ = $47, 788.19615 ; 𝑖 = 1.5 % 𝑚𝑜𝑛𝑡ℎ𝑙𝑦 ; 𝑛 = 6 ; 𝑝 = 12 𝑚𝑜𝑛𝑡ℎ𝑠

𝐴𝑛⌉ = $114, 868.5668 ; 𝑖 = 12 % 𝑎𝑛𝑛𝑢𝑎𝑙 ; 𝑛 = 24 ; 𝑝 = 6 𝑏𝑖𝑚𝑒𝑠𝑡𝑒𝑟𝑠

$180 $180 $180 $180

$4 300 $4 300 $4 300 $4 300 $4 300

$3 500 $3 500 $3 500 $3 500 $3 500

III. AMORTIZATION OF LOANS IN PESOS AND IN UDIS I

a) Determine the nominal interest rate of the loan in each year.

𝐴𝑛⌉,𝑈𝐷𝐼 = 83,960.39916𝑈𝐷𝐼𝑆 ; 𝑟𝑈𝐷𝐼 = 5.73% ; 𝑛 = 4

n INPC Rate of inflation UDI Value

1 108.3792000 108.3792 𝑉𝑈𝐷𝐼,1 = (1 + 0.011)(9.52)