To find the future value of an annuity due, you multiply the future value of an ordinary

Question:

To find the of an due, you multiply the of an ordinary by the sum of 1 + the period interest rate. Explain why this is the same as adding the simple interest earned on the first payment for the entire length of the 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,... Future Value
Future value (FV) is the value of a current asset at a future date based on an assumed rate of growth. The future value (FV) is important to investors and financial planners as they use it to estimate how much an investment made today will be worth...