How much less is a perpetuity of $2,000 worth than an annuity due of the same amount for 30 payments (in $ dollars)? Assume an interest rate of 106. $

Q: What is the PV of an ordinary annuity with 10 payments of $2,700 if the appropriate interest rate is…

A: Number of Payment = n = 10Payment = p = $2700Interest Rate = r = 5.5%

Q: An annuity pays an amount of $86.00 each period for 9 periods, and the present value is $666.00.…

A: An annuity is a series of payments made at equal intervals. Examples of annuities are regular…

Q: Find the present value of the ordinary annuity. (Round your answer to the nearest cent.) Amount of…

A: Formula PVA = m*[1-(1+r)-n*t]/r Where PVA - Present value of annuity m - Annual deposit amount i.e.…

Q: 4.  a.)  What is the future value of an annuity due with an annual payment of $1,500 for four years…

A: Future Value is that amount which includes the interest earned and investment value which is…

Q: Calculate the present value of an annuity due given the following information: number of periods =…

A: The present value of an annuity due is the current value of a series of payments or cash flows…

Q: What is the PV of an ordinary annuity with a $5,700 duwterly payment for 5 years if the appropriate…

A: We need to use present value of ordinary annuity formula to calculate value of PV of annuity.wherePV…

Q: What is the dollar difference (on an absolute basis) in the present value of receivin $9,000…

A: Present value illustrates the current value of a sum of money that will be received or paid in the…

Q: Use the ordinary annuity formula shown to the right to determine the accumulated amount in the…

A: Future Value of Ordinary Annuity refers to the concept which determines the sum total of all the…

Q: Ques 5 and 6

A: 1. Calculating the Number of Exams Graded in 5 Hours Given: A teacher grades 150 exams in 1 hour. To…

Q: What is the future value of an ordinary annuity that pays $2,800 per year for 6 years? The…

A: Annuity refers to a stream of constant and fixed cash flows that occur on a periodic basis.As this…

Q: Find the present value of the ordinary annuity. (Round your answer to the nearest cent.) Amount of…

A: Since compounding will be done quarterly, the annual rate of interest is divided by 4 (i.e., 8%/4 =…

Q: y is $5759.93. What annual nominal compounding rate has this annuity earned?

A: As per the given information: Annual payments into an ordinary annuity - $1,000 Amount of annuity at…

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: If the present value of an ordinary, 7-year annuity is $6,500 and interest rates are 7.5 percent,…

A: Given: Particulars Amount Present value(PV) $6,500 Rate 8% Years(NPER) 7

Q: If the present value of an ordinary, 6- year annuity is $7,200 and inter present value of the same…

A: In ordinary annuity there are payments at the end of period only and in annuity due payments are at…

Q: Calculate the future value of an annuity, with case A being an ordinary annuity and case B being an…

A: Annuities - Annuities are the agreements and contracts that promise periodic and regular payments or…

Q: Principal Rate Mode of Payment Monthly Monthly Semi-annually Semi-annually Semi-annually Term 1.…

A: Future value of an annuity can be calculated using the FV Function in excel. Present value of an…

Q: If the present value of an ordinary 6 year annuity is $9100 and interest rate is 9.5%. Find the…

A: The provided information are: Present value (PV) = $9100 Rate of interest (r) = 9.5% Number of years…

Q: 1. A five-year ordinary annuity has a present value of $1,000 and the interest rate is 10 percent of…

A: The formula for the calculation of PV of ordinary annuity is as follows: PV of…

Q: The table below contains information on four different annuities. a) Calculate the future value of…

A: The term "annuity" refers to a contract created and offered by financial institutions with the goal…

Q: If the present value of an ordinary, six-year annuity is $8,500 and the interest rates are 9.5…

A: Given: Resent value of Ordinary Annuity = $8500 Interest Rate = 9.5% Time =6 years So, the value of…

Q: What is the present value of an ordinary annuity with annual payments of $670 at 8% annual interest…

A: Given,The annual payment is, PMT = $670The interest rate per period is, r = 8% = 0.08The total…

Q: 6. Present Value of an Annuity The table below contains information on four different annuities. a)…

A: The present value of the annuity represents the current value of the future annuity stream of cash…

Q: How much less is a perpetuity of $2,000 worth than an annuity due of the same amount for 30 payments…

A: Given information: Annuity : $2,000 Number of payments : 30 Rate of interest : 10%

Q: f. Find the PV of an ordinary annuity that pays $1,000 each of the next 4 years if the interest rate…

A: Annual payment (C) = $1,000 Interest rate (r) = 0.15 Number of payments (n) = 4   Present value is…

Q: IF A PERPETUITY IS WORTH P 500,600.00 AND WITH AN INTEREST OF 16.25%, WHAT IS THE ANNUITY? IF MONEY…

A: Since you have asked multiple questions, we will solve the first question for you as per policy.…

Q: Suppose you are going to receive $17,500 per year for five years. The appropriate interest rate is…

A:

Q: present value of an ordinary back to the present at 10 percen as

A: The present value of the annuity can be computed as follows : Calculations for above :

Q: What is the price of a perpetuity that pays $17.50 semi-annually and the required rate of return is…

A: In this question we need to compute the price of perpetuity that pays $17.50 semi-annually.

Q: If the present value of an ordinary, 6-year annuity is $9,400 and interest rates are 9.5 percent,…

A: Time value of money is the concept widely used by the management to determine the worth of money…

Q: Annuity Due 6. if the present value of an annuity due of 2,000 payable semiannually is 28,000 and…

A: Due to the time worth of cash, cash got today is worth more than a similar measure of cash later on…

Q: If the present value of an ordinary, 5-year annuity is $6,400 and interest rates are 11 percent,…

A: Present value of an ordinary, annuity = $6,400 Time Period = 5 Years Interest Rate = 11%

Q: Am. 111.

A: We can solve this using Present value of perpetuityPresent value of perpetuity is = Payment in each…

Q: what's the future value of the same annuity due?

A: An Annuity is a series of payments of fixed amounts and at fixed intervals. These can be of two…

Q: What's the present value of a perpetuity

A: The present value of perpetuity is determined by dividing the amount of regular cash flow by the…

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

A: PMT = 58 Period = 13 years  Nominal rate of interest = 7.23% Additional amount = 1000

Q: After how many months will an annuity earning 2.4% annually be worth $500 if $25 is deposited…

A: Interest Rate = 2.4% Annually Rate = 2.4%/12 = 0.2% Future Value (FV) = $500 Monthly Deposit (PMT) =…

Q: Find the payment made by the ordinary annuity with the given present value. $87,292; monthly…

A: Present value=PV=-87292Period=n=20years=20 x 12=240Interest rate=3.7%Monthly interest…

Q: uppose you are going to receive $14,500 per year for five years. The appropriate interest rate is 8…

A: a-1.Periodic payment, P = $14,500Interest rate per period, r = 8%Number of periods, n = 5The…