John, the bestfriend of Hero, is worried that Hero might not have the qualifications to get a stable job. With this, Hero will inherit an amount of P100,000 every end of 3 months for 10 years. However, Hero may choose to obtain a single lump sump payment at the end of 4 years. If the cost of money is 14% compounded quarterly, how much is the value of this lump sum?

6.Jess, a professor of the magic academy, hasdonated a fund to provide assistance to diligent disciples of the academy. The fund will provide P5,000 for each of the first five years, P8,000 for the next 5 years, and P10,000 for each year thereafter. The assistance will start one year after the fund is established. What is the amount of the donation if the fund earns 8% interest?