Explain the difference between an ordinary annuity and an annuity due.
Question:
Annuity
An annuity is a series of equal payment made at equal intervals during a period of time. In other words annuity is a contract between insurer and insurance company in which insurer make a lump-sum payment or a series of payment and, in return,...
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 70% (17 reviews)
An ordinary annuity exists when the cash flows occur at the end of each period In an annuity due th...View the full answer
Answered By
JAPHETH KOGEI
Hi there. I'm here to assist you to score the highest marks on your assignments and homework. My areas of specialisation are:
Auditing, Financial Accounting, Macroeconomics, Monetary-economics, Business-administration, Advanced-accounting, Corporate Finance, Professional-accounting-ethics, Corporate governance, Financial-risk-analysis, Financial-budgeting, Corporate-social-responsibility, Statistics, Business management, logic, Critical thinking,
So, I look forward to helping you solve your academic problem.
I enjoy teaching and tutoring university and high school students. During my free time, I also read books on motivation, leadership, comedy, emotional intelligence, critical thinking, nature, human nature, innovation, persuasion, performance, negotiations, goals, power, time management, wealth, debates, sales, and finance. Additionally, I am a panellist on an FM radio program on Sunday mornings where we discuss current affairs.
I travel three times a year either to the USA, Europe and around Africa.
As a university student in the USA, I enjoyed interacting with people from different cultures and ethnic groups. Together with friends, we travelled widely in the USA and in Europe (UK, France, Denmark, Germany, Turkey, etc).
So, I look forward to tutoring you. I believe that it will be exciting to meet them.
3.00+
2+ Reviews
10+ Question Solved
Related Book For
Intermediate Accounting
ISBN: 9781259722660
9th Edition
Authors: J. David Spiceland, James Sepe, Mark Nelson, Wayne Thomas
Question Posted:
Students also viewed these Accounting questions
-
Explain the difference between an ordinary annuity and an annuity due, when renting an apartment.
-
What is the difference between an ordinary annuity and an annuity due? Give examples of each.
-
What is the difference between an ordinary annuity and an annuity due? Which always has greater future value and present value for identical annuities and interest rates? Why?
-
Does the customer buying process end when a customer buys some merchandise? Explain your answer.
-
Refer to the day of birth data in the preceding text above. Assuming conditions are the same today, estimate the probability that a baby will be born during a weekday. That is, not on Saturday or...
-
T-bills (Treasury bills) are one of the instruments that the U.S. Treasury Department uses to finance the public debt. If you buy a 180-day T-bill with a maturity value of $10,000 for $9,893.78, what...
-
Why are mass transfer coefficients from clean drops higher than mass transfer coefficients in dirty systems? What is the practical significance of this?
-
Scully Corporation holds enough stock in company A and company B to give it voting control of both firms. Consider the accompanying simplified balance sheets for these companies. a. What percentage...
-
In March, stockholders of 5 D Corporation approved a 3 - for - 1 stock split, when the stock price was at $ 8 4 . 3 0 . After the split What will be the price of a share?
-
In all cases, a thermal equilibrium state or a steady state is assumed, depending on the application of voltage. Abrupt junction assumption, Application of Depletion Approximation In the NPN BJT of...
-
What is an annuity? Discuss in detail.
-
Explain the relationship between Table 2, Present Value of $1, and Table 4, Present Value of an Ordinary Annuity of $1.
-
On January 1, 2010, Parker, Inc., a U.S.-based firm, acquired 100 percent of Suffolk PLC located in Great Britain for consideration paid of 52,000,000 British pounds (£), which was equal to...
-
Find the marginal profit for producing x units. (The profit is measured in dollars.) dP P = -0.55x2 + 3,000x - 1,850,000 dollars per unit dx
-
Given that f(x, y) = xy + 3x, find its derivative with respect to x, i.e., find of. af :
-
Completely factor the expression. x(6)(x + 1)(5x) + (x + 1) (6x2)
-
An airplane can travel 315 mph in still air. If it travels 2680 miles with the wind in the same length of time it travels 2360 miles against the wind, what is the speed of the wind?
-
A chemical company makes two brands of antifreeze. The first brand is 4 0 % pure antifreeze, and the second brand is 7 0 % pure antifreeze. In order to obtain 1 4 0 gallons of a mixture that contains...
-
a. Is your state statutory code on the Internet? If so, give its address (uniform resource locator or URL) and quote from any statute on this site that covers divorce. b. Try to find the Internet...
-
Describe a job you have had in the past or a job you are very familiar with. Indicate the negative aspects of the job and how it could be improved with current human resource management techniques.
-
A manufacturing company producing medical devices reported $60,000,000 in sales over the last year. At the end of the same year, the company had $20,000,000 worth of inventory of ready-to-ship...
-
Explain the treasury-stock method as it applies to options and warrants in computing dilutive earnings per share data.
-
Explain the treasury-stock method as it applies to options and warrants in computing dilutive earnings per share data.
-
Explain the treasury-stock method as it applies to options and warrants in computing dilutive earnings per share data.
-
The university purchased a new electric range for $16,000. The electric range is an asset account which is debited because the asset balance increased. Accounts payable is a liability account which...
-
Which if the following statements is FALSE? O a. O b. c. An insurance company will offer insurance to cover the risk of loss arising from moral hazards. Insurers will not pay for losses that are...
-
Brave Depth Mining is considering opening a new mine. Constructing the mine will cost 1 , 1 6 8 million dollars today. Starting one year from now, the mine will then be able to generate 2 0 8 million...
Study smarter with the SolutionInn App