What is the present value of a $1,000 ordinary annuity that earns 8% annually for an infinite number of periods? ANS: $12,500

Q: Find the future value of an ordinary annuity of ​$8,000 semiannually for eight years at 7​% annual…

A: Given  The periodic annuity payment is $8000 Term is 8 years Annual rate is 7% compounded semi…

Q: The following terms of payment for an annuity are as follows: Periodic payment = P20,000 Payment…

A: Periodic payment = 20,000 Interest Rate = 18%/12 = 1.5% per month N = 15 years i.e. 180 months…

Q: What is the PV of a 8-year annuity due (payments at beginning of period

A: PV = PMT * ((1 - (1 + r)^(-n)) / (r * (1 + r)))Where:PV is the present valuePMT is the payment…

Q: Php 25 000 is deposited every 3 months for 3.5 years at 10% compounded monthly, what is the future…

A: Quarterly deposit (D) = Php 25000 Interest rate = 10% Quarterly interest rate (r) = [1+(0.10/12)]3-1…

Q: What is the present value of an annuity that pays $58 per year for 13 years and an additional $1,000…

A: We can make use of the financial calculator to obtain the present value, PV. Inputs: I/Y = rate =…

Q: What is the Present Value of a 3-year ordinary annuity of $100 at 5%?  For clarity, the annuity pays…

A: present value of ordinary annuity formula: PVA=A×1-11+rnrwhere,A=annual paymentr=interest…

Q: An annuity due has four payments, $2000 each. What's the present value of the annuity due at a 6%…

A: Annuity due is that annuity in which payments are made at the start of each period. This is in…

Q: The future value of regular annuity of $2,000 per year for 20 years is $73,888.32. What interest…

A: The future value is the amount that will be received at the end of a certain period. In simple…

Q: Find the future value of the following ordinary annuity. Payments are made and interest is…

A: STEP 1 When assuming a specific rate of return, or discount rate, the future value of an annuity is…

Q: Find the present value of ar prdinary annuity whose periodic payment of 15,000.00 is payable at th…

A: Present value of annuity is the equivalent value of annuity today considering the interest rate and…

Q: 9. How much is a periodic payment payable every quarter of a general ord accumulated value is…

A: N = 40 quarters (10 years) Future Value = 220,000 Interest rate = 6.5% compounded semi annually

Q: What’s the interest rate of a 5-year, annual $4,800 annuity with present value of $20,000?

A: Given; Present value of annual payments : $20,000 Time period (r): 5 years Annuity: $4,800

Q: Find the amount of the ordinary annuity based on the information given. R=$10,500, 5% interest…

A: Ordinary Annuity: It represents the cash flows/payments of the annuity occurring at the end of the…

Q: For $5,000, you can purchase an ordinary annuity that will pay you $920.23 each year for 8 years.…

A: The annuity is the periodic payment received in each period. The present value is the discounted…

Q: What is the present value of a regular $1,000 60-month annuity, if r is 6% APR compounded monthly?

A: Present Value of Ordinary Annuity refers to the concept which gives out the discounted or today's…

Q: Find the future value of the following ordinary annuities. Payments are made and interest is…

A: The Future Value of an Ordinary Annuity refers to the concept which gives out the compounded or…

Q: Find the present value of an ordinary annuity with deposits of $11,055 semiannually for 10 years at…

A: An annuity's present value is the current value, discounted at a certain rate, of a series of future…

Q: Find the future value of the following ordinary annuities. Payments are made and interest is…

A: Future value refers to an amount of the current asset at some future date affected by interest…

Q: Find the amount of the ordinary annuity based on the information given. R=$12,500, 8% interest…

A: Ordinary annuity is a type of annuity where the payments will be made at the end of the year.

Q: What is the present value of an annuity of $6,000 to be received at the end of each of the next…

A: Present value: This is the amount of future value reduced or discounted at a rate of interest till…

Q: Find the future value of an annuity of $1400 paid at the end of each year for 15 years, if interest…

A: Time value of money :— According to this concept, value of money in present day is greater than the…

Q: 4: A perpetuity pays $3400 at the end of every month for 11 months of each year. At the end of the…

A: Perpetual refers to the forever kind of transaction. This means equal amount of cash flow at an…

Q: if P20,879 is deposited each year for 8 years at an interest rate of 10.257% compounded bi-monthly,…

A: The concept of the time value of money states that the same amount of money is worth more today than…

Q: What annuity is required over 10 yrs. to equate a future amount of P 15,000. assume  interest of 5…

A: Given, Future Value of annuity = 15,000 Need to find annual Installments to be made over 10 years

Q: What is the future value of a perpetuity with annual payments of $1,000 compounding at 10%

A: Payment = p = $1000Interest Rate = r = 10%

Q: C- What must YOU invest today to receive an annuity of $4,500 for 10 years compounded at 8%…

A: Here, present value of a quarterly annuity needs to be determined. Annuity “PMT” of $4500 every…

Q: What is the present value of a $1,000 60-month annuity due, if r is 6% APR compounded monthly?

A: The time value of money is applied in the case of calculation for the present value of the annuity.…

Q: By using the calculate the future value of a 5 - year ordinary annuity , if the annual interest is…

A: As per the time value of money, a dollar is worth more today than the same dollar in the future.…

Q: What's the present value of a 4-year ordinary annuity of $2,250 per year plus an additional $3,000…

A: The objective of this question is to calculate the present value of a 4-year ordinary annuity of…

Q: Find the present value of an ordinary annuity which has deposits of P60,000 semiannually for 5 years…

A: Ordinary annuity refers to the set of periodic payments that a depositor makes into a savings…

Q: What's the future value

A: The future value is the estimated value of an investment that accounts for compound interest or…

Q: If the present value of an ordinary, 6-year annuity is $6400 and interest rates are 2.5 percent,…

A: Given: Present value (PV)= $ 6400 Interest rate (r)= 2.5% Number of years (n) = 6

Q: What is the PV of a 6-year, $149 annuity due if the annual interest rate is 5% ?

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

Q: Find the future value of the following ordinary annuities. Payments are made and interest is…

A: The Future Value of an Ordinary Annuity refers to the concept which gives out the compounded or…

Q: What is the present value of a $1,000 60-month annuity, starting 6 months from today, if r is 6% APR…

A: Present Value of Deferred Annuity refers to the concept which dictates the discounted value of a sum…

Q: Find the present value of an ordinary annuity which has payments of $1400 per year for 11 years at…

A: Annual payment (P) = $1400 Interest rate (r) = 6% Number of annual payment (n) = 11