Example: Danielle Caravello will receive a 4-year annuity of 500 per year, beginning at date 6. If the interest rate is 10 percent, what is the present value of her annuity?

im a doing this right??

1. PVA = 500 x (1/0.10-1/0.10 (1+0.10)^4) = 1584.93

2. Discounting it back 6 years gives me: 1584.93/(1+0.10)^6 894.65 I

Example: Danielle Caravello will receive a 4-year annuity of 500 per year, beginning at date 6 . If the interest rate is 10 percent, what is the present value of her annuity? 1. PVA=500(1/0.101/0.10(1+0.10)4)=1584.93 2. Discounting it back 6 years gives me: 1584.93/(1+0.10)6894.65