Question

Payments of equal amounts that are equally spaced over time are a form of an annuity

Payments of equal amounts that are equally spaced over time are a form of an annuity

Homework Answers

Answer #1

The statement is correct.

Annuity is fix payment per period. Over a period of time.

If the payment is made at the beginning of every period, it is called annuity due, and if the payment is made at the end of the period then it is called normal annuity.

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