annuity payments are assumed to come at the end of each payment period (termed an ordinary annuity). however, an exception occurs when the annuity payments come at the beginning of each period (termed an annuity due).

what is the future value of a 7 year annuity of 3700 per period where payments come at the beginning of each period. the interest rate is 10 percent. to find the future value of an annuity due when using the appendix tables, add 1 to n and subtract 1 from the tabular value. look up the value of 7.716 and subtract 1 from it for an answer of 6.716 or 671.60 (100x6.716)

future value =