1) $6000 at 4% compounded semiannually for 12 years Find the future value of the ordinary annuity. Interest is compounded annually, unless otherwise indicated.

Q: Find the present value of the ordinary annuity: Payments of $450 made annually for 13 years at 6%…

A: Option d: This option is correct. Step 1:We have to calculate the present value of the ordinary…

Q: A 3-year annuity immediate with monthly payments has an initial payment of 200. Subsequent monthly…

A: A series of regular periodic payments made at each interval is recognized as an annuity. The…

Q: Find the present value for the following future amount. $9890 at 2.5% compounded semiannually for 11…

A: The problem is asking us to find the present value of a future amount. The future amount is $9890,…

Q: Calculate the future value of an ordinary annuity where $125 is deposited and compounded monthly at…

A: The future value of an ordinary annuity is given by the formula where Py is the annuity payment, i…

Q: Future Value $28,000 Periodic Payment Payment Interval Term Conversion Period $220 1 month 8 years…

A: The annual rate of interest refers to the interest rate thang charged by the lender from the…

Q: Find the future value of an ordinary annuity if payments are and how much is from interest R-9,300;…

A: Compound = semiannually =2 Payment = p = 9300 Interest rate = r = 4 / 2 = 2% Time = t = 4 * 2 = 8

Q: Find the final amount or value of a $ 2,500 annuity that will be paid monthly for two years at 12%…

A: The given problem can be solved using FV function in excel. FV function computes amount in future…

Q: Find the present value of the ordinary annuity. (Round your $1200/semiannual period for 9 years at…

A: An ordinary annuity is a series of equal cash flows or payments received or paid at the end of each…

Q: Regular contributions of $200 are made at the end of each month for five years into a savings…

A: An ordinary annuity involves regular contributions or payments made at the end of each period (in…

Q: Determine the future value of the annuity due: Periodic Payment Nominal Compounding Payment ($)…

A: Payment = p = $750 Time = 6.5 * 2 = 13 semiannual Interest rate = (1 + (0.09 / 4))^(4 / 12) - 1 =…

Q: In the following ordinary annuity, the interest is compounded with each payment, and the payment is…

A: Time taken can be calculated using NPER function in excel. =NPER(rate,pmt,pv,[fv],[type]) Rate The…

Q: Find the present value of the following ordinary annuity.   Periodic Payment Payment Interval Term…

A: Converting 7% compounding quarterly rate to effective rate  Effective rate of interest = [(1+…

Q: 17. Determine the periodic payment for the following deferred annuity. The annuity is an ordinary…

A: It is a case of monthly annuity payments after a deferral period. Here, the deferral period is the…

Q: What is the period of deferral in the deferred annuity?

A: Deferred annuity refers to the annuity payments beginning in the future agreed date i.e. after an…

Q: Calculate the net single premium for a 5 year deferred temporary annuity which pays €2,000 each…

A: The net single premium for the insurance is the expected present value of all the future cash flows.…

Q: Determine the nominal annual rate of interest of the following ordinary general annuity. Conversion…

A: ParticularsValuePresent value 4600Periodic payment787.91Payment interval1yearTerm9yearsConversion…

Q: At an annual effective interest rate of i, the following two payment streams have equal present…

A: Present value refers to the current value of a future sum of money or cash flow, discounted at a…

Q: 11. In the following ordinary annuity, the interest is compounded with each payment, and the payment…

A: 11. where : FV = Accumulated Amount of the annuity PMT =Payment per period =  $5500 i = interest…

Q: Complete the ordinary annuity. (Do not round intermediate calculations. Round your final answer to…

A: We need to use future value of ordinary annuity formula given below to calculate value of ordinary…

Q: 26. Determine the future value of the annuity due: Periodic Payment

A: An annuity is a financial arrangement in which a series of equal payments or cash flows are made at…

Q: An annual annuity-immediate pays $2000 at the end of the first year. The last payment is at the end…

A: The present value is the present worth of the amount that will be paid or received at future.

Q: Determine the nominal annual rate of interest of the following ordinary general annuity. Periodic…

A: When the benefits of compounding over time are taken into account, an effective annual interest rate…

Q: Determine the discounted value of an ordinary annuity deferred 9 years paying $2381 semi-annually…

A: Deferred annuity is a concept of time value of moeny in which the payments starts after a short…

Q: The first payment of the perpetuity is K and each subsequent payment is 0.5% larger than the…

A: We first need to compute the PV of the remaining payments (9 payments) using the PV of ordinary…

Q: Ques 17 and 18

A: Lisa's annual deposit must be approximately $245.50.Explanation:Step 1: Understand the ProblemFuture…

Q: Use the ordinary annuity formula to determine the accumulated amount in the annuity. Round to the…

A: Ordinary annuity is the type of account in which amount is accumulated at the end of each period for…

Q: Find the present value of the following ordinary annuity. Periodic Payment Payment Interval Term…

A: The objective of this question is to calculate the present value of an ordinary annuity. An ordinary…

Q: periodic payment $260 made at end, payment period 1month, period of deferment 7years,terms 3years,…

A: Ordinary Annuity = P x [1-(1+r)-n][ (1+r)t-1x r ]

Q: Deferred Annuity Find the present value P and amount F of the following. 1.Semi-annual payment P 500…

A: Annuity means a series of finite numbers of payments which are equal in size and made in equal…

Q: A perpetuity pays $9600 per half-year, as follows: • in odd-numbered half-year, a payment of $9600…

A: Perpetuity is a security that pays for a limitless measure of time. In money, interminability is a…

Q: 1. Find the present value of the following ordinary deferred annuity. Periodic Payment Made Payment…

A: Annuity refers to series of equalized payments that either made at start or end of specified…

Q: You Find the present value of the following annuity: An amount of $15,806 is paid quarterly for 3…

A: The provided information are: PMT = $15806 NPER = 3 Rate = 6.80%

Present Value

Present value (PV) is defined as the current or present value of all future sums of cash flow or money at a specified rate of return. This rate of return is known as the discounted rate, which is essentially the interest rate, discounted over some time. The expected cash flows are discounted at a discount rate to compute the present value. The higher the discount rate, the higher the future value (FV), but the lower the present value.