Find the simple interest earned on the first payment

Assignment Help Mathematics
Reference no: EM131627851

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

Reference no: EM131627851

Questions Cloud

How accurate has the forecast been : How accurate has the forecast been? Do you think this difference matters to a beach town? Can you develop a forecasting system model that may be more accurate?
What is an annuity : What is an annuity? Discuss why it is considered a tax-sheltered investment. What do you have to give up in order to receive tax-favored treatment?
Explain an employee or and independent contractor : What are the positive and negative issues that are associated with being either an employee or and independent contractor
Ikea-catalyst for change : IKEA: Catalyst for Change. Ingvar Kamprad founded IKEA with an emphasis on cost leadership. IKEA’s focus from low costs to “Low prices but not at any price.”
Find the simple interest earned on the first payment : To find the future value of an annuity due, you multiply the future value of an ordinary annuity by the sum of 1 + the period interest rate.
Explain what the money market : Research from other sources to find additional information on monetary and fiscal policy - APA with references one page
Shorter cash conversion cycle : Would a firm prefer a longer or shorter Cash Conversion Cycle? What are some examples of ways a firm could attain this?
Compare the two payment amounts : Ted Davis has set the goal of accumulating $80,000 for his son's college fund, which will be needed 18 years in the future.
What really drives a company strategy : What Really Drives A Company's Strategy?

Reviews

Write a Review

Mathematics Questions & Answers

  Express your answer in hours and minutes

Jill has a swimming pool in her backyard. It is shaped like a rectangle and measures approximately 16.3 feet wide and 26.2 feet long. It is an average of 5 feet deep. During a few hot weeks during the summer, some water evaporates from the pool, and ..

  Define insurance companies track life expectancy information

Insurance companies track life expectancy information to assist in determining the cost of life insurance policies. The insurance company knows that, last year, the life expectancy of its

  Use the arc length formula to find the length of the curve

Use the arc length formula to find the length of the curve

  Electronic communication privacy act

Since Congress enacted the "Electronic Communication Privacy Act " in 1986.  Company policies relating to employee use of the computers, telephones, e-mail and the internet for personal non-work related reasons typically try to achieve a balance b..

  Do policies need to be changed to adjust the allocation

What factors do you think determine the amount of resources that are allocated toward each of these goods? Do policies need to be changed to adjust the allocation?

  At what rate is the diameter of the balloon increasing

A spherical balloon is inflated at a rate of 12 cm3/min. At what rate is the diameter of the balloon increasing when the balloon has a diameter of 22 centimeters

  Does iesds reduce the game

Does IESDS reduce the game? Does it reduce it to a single pair of strategies? Why or why not? b) Does Nash equilibrium exist? If yes find it.

  Probability of defective resistors- demoivre-laplace theorem

Probability of Defective Resistors: DeMoivre-Laplace Theorem, A manufacturer of electronic equipment buys 900 resistors for which the probability of any single resistor being defective is p = 0.01.

  Assess future challenges and opportunities

Technology and threats will change over time. No homeland security, emergency management, or public safety official can afford to ignore how the requirements to safeguard the public over time might change. Assess the future challenges and opportun..

  Solve ulam problem by asking questions

Suppose someone picks a number x from a set of n numbers. A second person tries to guess the number by successively selecting subsets of the n numbers.

  Calculate the final selling price

Calculate the final selling price to the nearest cent and markdown to the nearest hundredth percent. Item: Brownies, Total Quantity 20, Unit cost $79.,Total cost ?, Percent mark-up on cost 60%, Total selling price? Percents that will spoil 10% Sel..

  Which bicycle do you think is going faster and why

A second bicycle with 20-inch tires is being pedaled so that the tires are also rotating at arate of 200 revolutions per minute. Which bicycle do you think is going faster? Why

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd