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can comeone help me work through this present value of an annuity problem? a. Calculate the present value of the annuity assuming that it is
can comeone help me work through this present value of an annuity problem?
a. Calculate the present value of the annuity assuming that it is (1) An ordinary annuity. (2) An annuity due b. Compare your findings in parts a(1) and a(2). All else being identical, which type of annuity-ordinary or annuity due-is preferable? Explain why. The present value of the ordinary annuity is $ (Round to the nearest cent) The present value of the annuty due is $ (Round to the nearest cent) b. Compare your findings in parts a(1) and a(2). All else being identical, which type of annuty is preferable? (Select the best answer below) Annuty due, because all else being identical, it will yield a higher present value. Ordinary annuity, because all else being identical, it will yield a higher present value Step by Step Solution
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