Chapter 11

Learning Objectives

  • Define and distinguish between ordinary simple annuities and ordinary general annuities and annuities due.
  • Calculate the future value and present value of both ordinary simple annuities and ordinary general annuities and annuities due.
  • Calculate the fair market value of a cash flow stream that includes an annuity.
  • Calculate the principal balance owed on a loan immediately after any payment.
  • Calculate the the periodic payment in ordinary simple and ordinary general annuities and annuities due.
  • Calculate the number of payments in ordinary simple and ordinary general annuities and annuities due.
  • Calculate the interest rate in ordinary simple and ordinary general annuities and annuities due.

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Business Math: A Step-by-Step Handbook Abridged Copyright © 2022 by Sanja Krajisnik; Carol Leppinen; and Jelena Loncar-Vines is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License, except where otherwise noted.

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