Business, 22.03.2021 17:00 angie0000

Each payment of an annuity due is compounded for one less period, so the future value of an annuity due is equal to the future value of an ordinary annuity compounded for one additional period. The equation is: The present value of an ordinary annuity, PVAN, is the value today that would be equivalent to the annuity payments (PMT) received at fixed intervals over the annuity period. The equation is: Each payment of an annuity due is discounted for one additional period, so the present value of an annuity due is equal to the present value of an ordinary annuity multiplied by (1 + I). The equation is:

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Each payment of an annuity due is compounded for one less period, so the future value of an annuity...

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