5. Which of the following statements is true about annuity? A. It is a series of payments of equal amount but made not of equal interval of time. B. It is a series of payments of unequal amounts, though made at an equal interval of time. C. It is a series of payments of equal amount made at an equal interval of time. D. None of the above

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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If you have PhP5,000.00, which of the following investment alternatives would provide the greatest
ending wealth for your one-year investment?

A. 72/100
percent simple interest
B. 7/10
percent compounded annually
C. 7/10
percent compounded semi-annually
D. 7/10
percent compounded quarterly

 

5. Which of the following statements is true about annuity?
A. It is a series of payments of equal amount but made not of equal interval of
time.
B. It is a series of payments of unequal amounts, though made at an equal
interval of time.
C. It is a series of payments of equal amount made at an equal interval of time.
D. None of the above

 

 

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