contestada

An ordinary annuity is best defined as: A) increasing payments paid for a definitive period of time. B) increasing payments paid forever. C) equal payments paid at the end of regular intervals over a stated time period. D) equal payments paid at the beginning of regular intervals for a limited time period. E) equal payments that occur at set intervals for an unlimited period of time

Respuesta :

Answer:

The correct answer is letter "C": equal payments paid at the end of regular intervals over a stated time period.

Explanation:

An ordinary annuity is a series of equivalent payments made over a fixed-time period at the end of each term. Ordinary annuity payments are made monthly, quarterly, semi-annually, or annually. Payments of interest on bonds are an ordinary annuity type.  

The opposite of an ordinary annuity is an annuity due where payments are made at the beginning of the period.

Otras preguntas

Q&A Education