An annuity pays $250 per year and the discount rate is 10%.
A. What is the present value of a 5 year annuity?
B. PV of a 10 year annuity?
c. PV of a 100 years annuity?
d.What is the present value of a perpetuity?
e. Do you detect a relationship between the number of periods of an annuity and its resemblance to a perpetuity?© BrainMass Inc. brainmass.com November 30, 2021, 7:14 am ad1c9bdddf
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An annuity pays $250 per year and the discount rate is 10%. A.What is the Present value of a 5 yr. annuity ? B. PV OF A 10 YR. ANNUITY c. PV OF A 100 yR. ANNUITY d.wHAT IS THE PRESENT ...
The solution shows step by step calculation of annuities over different periods.