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aisha
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Annuity confusion Help please
$100 is deposited at the beginning of every week for 5 years in an account that pays 14%/a compounded weekly
this is a simple annuity due
b)draw a line diagram to represent the annuity
what is the line diagram going to show present value or future value?
will it look like this line diagram http://ca.pg.photos.yahoo.com/ph/sikandar1984/detail?.dir=9181&.dnm=2f5f.jpg&.src=ph
c) it says find the present value of the annuity using the formula I think I can do this but WHY are we finding present value instead of future value I don't understand?
$100 is deposited at the beginning of every week for 5 years in an account that pays 14%/a compounded weekly
this is a simple annuity due
b)draw a line diagram to represent the annuity
what is the line diagram going to show present value or future value?
will it look like this line diagram http://ca.pg.photos.yahoo.com/ph/sikandar1984/detail?.dir=9181&.dnm=2f5f.jpg&.src=ph
c) it says find the present value of the annuity using the formula I think I can do this but WHY are we finding present value instead of future value I don't understand?
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