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The problem asks for the **present value** of ₱18,000 to be received in two years, assuming a 6% annual interest rate. The formula for present value \( PV \) can be expressed as:

\[
PV = \frac{FV}{(1 + r)^t}
\]

Where:
- \( FV \) is the future value (₱18,000),
- \( r \) is the annual interest rate (6% or 0.06),
- \( t \) is the time in years (2 years).

### Step-by-step solution:
\[
PV = \frac{18,000}{(1 + 0.06)^2}
\]

\[
PV = \frac{18,000}{(1.06)^2}
\]

\[
PV = \frac{18,000}{1.1236} \approx 16,020.64
\]

Thus, the present value of ₱18,000, to be received in two years at 6% interest, is approximately **₱16,020.64**.

Would you like more details or have any other questions?

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Here are 5 related questions for further exploration:
1. How would the present value change if the interest rate were 8%?
2. What happens to the present value if the investment duration is increased to 3 years?
3. Can you calculate the future value if ₱16,000 is invested today for 2 years at 6% interest?
4. What formula would you use for continuous compounding interest instead of annual compounding?
5. How is the present value used in decision-making for long-term investments?

**Tip**: Present value calculations help compare the worth of money today versus money received in the future, which is critical for investment decisions.

Your mother is expecting to get ₱18,000 in two years' time after investing in fixed income securities that yield 6% annually. Compute for the present value.

Learn how to compute the present value of ₱18,000 to be received in two years, given a 6% annual interest rate. This problem applies the present value formula and explains the time value of money concept. Suitable for finance or economics students.

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