Solve for the FVA or PVA value of the following annuity DUE s; Payment amt $ 12,000.00 $ 60,000.00 Solve for... #Pmts/year years Annual rate Answer; Future Value 1 20 8.00% Present Value 1 20 8.00% Future Value 1,000.00 12 20 12.00% Present Value $ 10,000.00 12 20 12.00% How does it impact the values when it is an annuity due rather than regular annuity?
Solve for the FVA or PVA value of the following annuity DUE s; Payment amt $ 12,000.00 $ 60,000.00 Solve for... #Pmts/year years Annual rate Answer; Future Value 1 20 8.00% Present Value 1 20 8.00% Future Value 1,000.00 12 20 12.00% Present Value $ 10,000.00 12 20 12.00% How does it impact the values when it is an annuity due rather than regular annuity?
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
Problem 1PS
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Solve for the FVA or PVA value of the following annuity DUE s;
Solve for...
#Pmts/year
Payment amt
$ 12,000.00
$ 60,000.00
$
$ 10,000.00
years
Annual rate
Answer;
Future Value
Present Value
Future Value
a)
1
20
8.00%
1
20
8.00%
1,000.00
12
20
12.00%
Present Value
12
20
12.00%
b)
How does it impact the values when it is an annuity due rather than regular annuity?
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