Future Value of Annuity versus Annuity Due
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Future value: annuity versus annuity due
What's the future value of a 7 percent, 5-year ordinary annuity that pays $300 each year? If this were an annuity due, what would its future value be?
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Solution Summary
The solution explains how to calculate the future value of an annuity
Solution Preview
Future value of an annuity can be calculated using the FV of annuity formula. It is given as
FV = ...
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