Homework Answers
The difference between ordinary annuity and annuity due lies in the payment period. The payments in an ordinary annuity occur at the end of each period. In contrast, an annuity due has payments occurring at the beginning of each period.
Please find the timelines below :
Add Answer to:
What's the difference between an ordinary annuity and an annuity due? Please respectively draw the time...
Is this statement true or false? If one set up time lines for an ordinary annuity...
Is this statement true or false? If one set up time lines for an ordinary annuity of $1,000 per year for 3 years and a 3-year, $1,000 annuity due, the primary difference between the two time lines is that the $1,000 payments for the annuity due would begin at t = 0 and end at t = 2, whereas the ordinary annuity's payments would begin at t = 1 and end at t = 3.
a. Explain what an annuity is, and distinguish between an annuity due and an ordinary annuity....
a. Explain what an annuity is, and distinguish between an annuity due and an ordinary annuity. (3 + 3½ +3½ = 10 marks) b. An investment of N$120,000 is made for three years at 20% per annum. Calculate the future value or the terminal value of the investment. (5 marks) c. What is the value of an amount of N$100,000 invested annually for 5 years at an interest rate of 20% per annum? (5 marks) d. FNB Namibia advertises that...
Which of the following statements about annuities are true? Check all that apply. An annuity due...
Which of the following statements about annuities are true? Check all that apply. An annuity due is an annuity that makes a payment at the beginning of each period for a certain time period. An annuity due earns more interest than an ordinary annuity of equal time. Ordinary annuities make fixed payments at the beginning of each period for a certain time period. An annuity is a series of equal payments made at fixed intervals for a specified number of...
To compute the value of an annuity due, multiply the value of the ordinary annuity by...
To compute the value of an annuity due, multiply the value of the ordinary annuity by . You are planning to put $10,000 in the bank at the end of each year for the next eight years in hopes that you will have enough money for a trip around the world. If you are investing at an annual interest rate of 6%, how much money will you have at the end of eight years—rounded to the nearest whole dollar? $98,975...
Find the present value of the ordinary annuity. (Round your answer to the nearest cent.) $1300/semiannual...
Find the present value of the ordinary annuity. (Round your answer to the nearest cent.) $1300/semiannual period for 5 yr at 12%/year compounded semiannually $ Need Help? Read Talk to a Tutor MY NOTES PRACTICE ANOTHER 5. (-/0.1 Points] DETAILS TANAPMATHS 4.2.014. Find the present value of the ordinary annuity. (Round your answer to the nearest cent.) $130/month for 14 yr at 7%/year compounded monthly Need Help? Read Talk te Tutor MY NOTES PRACTICE ANOTHER 6. [-70.1 Points) DETAILS TANAPMATHS...
MY NOTES PRACTICE ANOTHER Find the present value of the ordinary annuity. (Round your answer to...
MY NOTES PRACTICE ANOTHER Find the present value of the ordinary annuity. (Round your answer to the nearest cent.) $1300/semiannual period for 5 yr at 12%/year compounded semiannually $ Need Help? Read it Tuto a Tutor 5. [0/0.1 Points] DETAILS PREVIOUS ANSWERS TANAPMATHS 4.2.014 MY NOTES PRACTICE ANOTHER Find the present value of the ordinary annuity. (Round your answer to the nearest cent.) $130/month for 14 yr at 7%/year compounded monthly $ 222.86 X Need Help? Read Tu te Tutor...
PROB 1. —Present value of an ordinary annuity due. Jill Morris is planning to purchase an...
PROB 1. —Present value of an ordinary annuity due. Jill Morris is planning to purchase an array of small business equipments from Eller Office Equipment Company. He expects to generate an income of $4,000 at the end of each year for the next 10 years from the use of these equipments. The market rate of interest for small equipment loans is 8%. The following 8% interest factors are given to you. 9 Periods10 Periods11 Periods Future Value of 11.999002.158922.33164 Present...
Suppose payments were made at the end of each month into an ordinary annuity earning interest...
Suppose payments were made at the end of each month into an ordinary annuity earning interest at the rate of 8%/year compounded monthly. If the future value of the annuity after 14 yr is $70,000, what was the size of each payment? (Round your answer to the nearest cent.) $ Need Help? Read Talk to Tuter 5. (-/0.1 Points) DETAILS TANAPMATH5 4.3.018. MY NOTES PRACTICE ANOTHER Suppose payments will be made for 4 years at the end of each month...
(a) What are the relationships of the present value and future value calculation of ordinary annuity...
(a) What are the relationships of the present value and future value calculation of ordinary annuity and annuity due? (b) Suppose you would like to buy a car using a loan that requires an annual payment of $1,000 for 20 years at the end of each year. If the annual interest rate is 3%, what are the present value of this car? What is the Excel function used for this calculation? What would the present value be if the loan...
1. Calculate the accumulated value of an ordinary annuity of $4,200 a year for 6 years...
1. Calculate the accumulated value of an ordinary annuity of $4,200 a year for 6 years if the money is worth 71 2 %. 2. Find the future value of the cash flow of $600 a month for 5 years at 9% interest compounded monthly. 3. If Gabe makes a $450 deposit into his savings fund at the end of each quarter for 6 years, how much will he be able to collect at the end of the sixth year...
Which of the following statements about annuities are true? Check all that apply. An annuity due is an annuity that makes a payment at the beginning of each period for a certain time period. An annuity due earns more interest than an ordinary annuity of equal time. Ordinary annuities make fixed payments at the beginning of each period for a certain time period. An annuity is a series of equal payments made at fixed intervals for a specified number of...
Find the present value of the ordinary annuity. (Round your answer to the nearest cent.) $1300/semiannual period for 5 yr at 12%/year compounded semiannually $ Need Help? Read Talk to a Tutor MY NOTES PRACTICE ANOTHER 5. (-/0.1 Points] DETAILS TANAPMATHS 4.2.014. Find the present value of the ordinary annuity. (Round your answer to the nearest cent.) $130/month for 14 yr at 7%/year compounded monthly Need Help? Read Talk te Tutor MY NOTES PRACTICE ANOTHER 6. [-70.1 Points) DETAILS TANAPMATHS...
MY NOTES PRACTICE ANOTHER Find the present value of the ordinary annuity. (Round your answer to the nearest cent.) $1300/semiannual period for 5 yr at 12%/year compounded semiannually $ Need Help? Read it Tuto a Tutor 5. [0/0.1 Points] DETAILS PREVIOUS ANSWERS TANAPMATHS 4.2.014 MY NOTES PRACTICE ANOTHER Find the present value of the ordinary annuity. (Round your answer to the nearest cent.) $130/month for 14 yr at 7%/year compounded monthly $ 222.86 X Need Help? Read Tu te Tutor...
Suppose payments were made at the end of each month into an ordinary annuity earning interest at the rate of 8%/year compounded monthly. If the future value of the annuity after 14 yr is $70,000, what was the size of each payment? (Round your answer to the nearest cent.) $ Need Help? Read Talk to Tuter 5. (-/0.1 Points) DETAILS TANAPMATH5 4.3.018. MY NOTES PRACTICE ANOTHER Suppose payments will be made for 4 years at the end of each month...
Most questions answered within 3 hours.
-
Assume customers arrive at a computer repair shop as a Poisson
process with rate of 20...
asked 3 minutes ago -
Consider the following data:
x
−4
−3
−2
−1
0
P(X=x)
0.2
0.3
0.1
0.2
0.2...
asked 11 minutes ago -
Please explain the......
- mechanism for the preparation of isopropyl benzene from
benzene and isopropyl chloride....
asked 9 minutes ago -
Sam Wright believes that the stock market is efficient. Explain
in three (or four) sentences or...
asked 10 minutes ago -
Learning Objective: Evaluate the purpose and contents of the
three major types of information security policies:...
asked 20 minutes ago -
A mixture initially contains A, B, and C in the following
concentrations: [A] = 0.400 M...
asked 21 minutes ago -
Myers Corporation has the following data related to direct
materials costs for November: actual costs for...
asked 25 minutes ago -
1.Bag of marbles: 5 red, 7 white, 11 blue (23 total). Reachin
bag and select 5....
asked 40 minutes ago -
A population consists of the following five values: 6, 6, 24,
31, 32.
a. Not available...
asked 44 minutes ago -
Write a script (box.py) that determines if a point is inside of
the box bounded by...
asked 49 minutes ago -
Latitude lines run______ around the globe and
__________the poles.
Group of answer choices
a.east-west; do not...
asked 48 minutes ago -
Suppose you had a point charge of 4.8 mC. Calculate the
magnitude of the electric field...
asked 49 minutes ago