Show
[Skip Breadcrumb Navigation]
This activity contains 10 questions.
What type of an annuity where the payment interval is the same as the interest period?The main difference is that in a simple annuity the payment interval is the same as the interest period while in a general annuity the payment interval is not the same as the interest period.
Is an annuity where the payment interval is the same as the interest compounding period?As with all ordinary annuities the payments are made at the end of each payment interval. It is also the case that the compounding interval equals the payment interval. This means that if the payment interval is monthly then interest will also be compounded monthly.
What is an annuity where the payment interval?An annuity is a series of equal payments at regular intervals of time over a period of time. A payment interval is the time between successive payments. The periodic payment of an annuity is the amount deposited or paid for each payment interval.
Which type of annuity in which the payment are made at the end of each period?An ordinary annuity is an annuity in which the cash flows, or payments, occur at the end of the period.
|