Purchase Solution

Future Value of Annuities: Ordinary Annuity and Annuity Due

Not what you're looking for?

Ask Custom Question

Find the future value of the following annuities. The first payment in these annuities is made at the end of year one. That is, they are are ordinary annuities.

A) $400 per years for 10 years at 10%
B) $200 per year for 5 years at 5%
C) $400 per year for 5 years at 5%
D) Now rework parts a and b and c assuming that payments are made at the beginning of each year; that is they are annuities due

Purchase this Solution

Solution Summary

This solution is comprised of a detailed explanation to a multiple choice question about calculating the future value of the following annuities.

Solution Preview

Find the future value of the following annuities. The first payment in these annuities is made at the end of year one. that is, they are are ordinary annuities.

A) $400 per years for 10 years at 10%

FVA = W x (1 + i)n - 1 where FVA is the future value
i W is the amount required to deposit ...

Purchase this Solution


Free BrainMass Quizzes
Managing the Older Worker

This quiz will let you know some of the basics of dealing with older workers. This is increasingly important for managers and human resource workers as many countries are facing an increase in older people in the workforce

Income Streams

In our ever changing world, developing secondary income streams is becoming more important. This quiz provides a brief overview of income sources.

Introduction to Finance

This quiz test introductory finance topics.

Paradigms and Frameworks of Management Research

This quiz evaluates your understanding of the paradigm-based and epistimological frameworks of research. It is intended for advanced students.

Employee Orientation

Test your knowledge of employee orientation with this fun and informative quiz. This quiz is meant for beginner and advanced students as well as professionals already working in the HR field.