A man expects to receive P125,000 in 8 years. How much must he invest now considering an interest rate of 12% compounded quarterly.

To solve this problem, we need to use the formula for the future value of an investment compounded quarterly, which is:

FV = PV * (1 + r/n)^(nt)

Where: FV = future value of the investment PV = present value of the investment (what we're trying to find) r = annual interest rate (in decimal form) n = number of times interest is compounded per year t = number of years the money is invested for

We know that FV = P125,000, r = 12% or 0.12 (in decimal form), n = 4 (since interest is compounded quarterly), and t = 8 years. We can plug these values into the formula and solve for PV:

P125,000 = PV * (1 + 0.12/4)^(4*8)

Solving the equation for PV gives us the amount the man must invest now.