Asked by Daniela Lopez on May 11, 2024
Verified
Calculate the term, expressed in years and months, of the following ordinary annuity.
Ordinary Annuity
A series of equal payments made at equal intervals of time, commonly used in calculations of loan repayments or future savings, where interest compounding occurs at the end of each period.
Expressed
Clearly communicated or made known in words, actions, or symbols.
Years
Units of time equal to 365 days, or 366 in a leap year, used to measure durations and ages.
- Compute the duration of a regular annuity in years and months.
Verified Answer
SB
Learning Objectives
- Compute the duration of a regular annuity in years and months.