Financial Management: Principles and Applications (Chapter 06: The Time Value of Money—Annuities and Other Topics)

Learning Objectives:

  1. Distinguish between an ordinary annuity and an annuity due, and calculate the present and future values of each.
  2. Calculate the present value of a level perpetuity and a growing perpetuity.
  3. Calculate the present and future values of complex cash flow streams.

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