An ordinary annuity where the first cash flow of the series is not at the end of the first period and rather it is delayed for sometime. annuity due O perpetuity delayed annuity deferred annuity In this type of annuity, the equal payments are made at the beginning of each compounding period starting from the first period. deferred annuity ordinary annuity perpetuity annuity due

An ordinary annuity where the first cash flow of the series is not at the end of the first period and rather it is delayed for sometime. annuity due O perpetuity delayed annuity deferred annuity In this type of annuity, the equal payments are made at the beginning of each compounding period starting from the first period. deferred annuity ordinary annuity perpetuity annuity due

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter11: Capital Budgeting Decisions

Section: Chapter Questions

Problem 9MC: The process that determines the present value of a single payment or stream of payments to be...

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In this type of annuity, payment is made at the end of each period starting from the first period. ordinary annuity annuity due deferred annuity perpetuity
An annuity with payments that occur at the beginning of each period is known as a ○ annuity due ordinary annuity deferred annuity discounted annuity immediate annuity
Annuities where the payments occur at the beginning of each time period arecalled refer to annuity streams with payments occurring at the end of each ine period. where O ordinary lor regular) annuities annuities due annuities due, ordinary (or regularl annuities O ute annuitie straight annuties straight annuities late aonuities
With a deferred ordinary annuity, the first payment was made one or more periods prior. the first payment begins one or more periods later. the last payment is made first. the first payment is made last.
The difference between an ordinary annuity and a annuity due is: A ordinary annuity is when payments are made at the beginning of each period, while for a annuity due the payments are made at the end of each period. An annuity due is an annuity where the loan is repaid in one lump sum at the end of the annuity, while for an ordinary annuity regular payments are made throughout the period of the annuity. An annuity due is when interest is compounded at the same time as payments are made, while for a ordinary annuity the interest and payment periods are different. A ordinary annuity is when payments are made at the end of each period, while for a annuity due the payments are made at the beginning of each period. An ordinary annuity is when interest is compounded at the same time as payments are made, while for a annuity due the interest and payment periods are different.
The deferral period lasts from the original deposit date (lump sum) up until the start of the term for the annuity. True 6. False
Type of annuity that is made at the end of each period Perpetuity Annuity Due Ordinary Annuity Deferred Annuity
An ordinary annuity is best defined by which one of the following? a. Increasing payments paid for a definitive period of time. b. Equal payments paid at the end of regular intervals over a stated time period. c. Equal payments paid at the beginning of regular intervals for a limited time period. d. Equal payments that occur at set intervals for an unlimited period of time.
A series of equal periodic payments in which the first payment is made one compounding period after the date of the contract is ________. Group of answer choices a deferred annuity a compound annuity an ordinary annuity an annuity due
A series of equal payments occurring at equal interval of time, known as. Ans: ____________ A type of annuity where the first payment is made at the end of the first period. Ans: ___________________ A type of annuity whose sum is infinite. Ans: _____________ A type of annuity where the first payment is made at the beginning of the first period. Ans: ______________ A type of annuity where the first payment is made later after the end of the first period. Ans: ___________________
Annuities where the payments occur at the end of each time period are called whereas refer to annuity streams with payments occurring at the beginning of each time neriod
Annuity due is an annuity whose payment is due at the END of each period. TRUE OR FALSE?