Question: 1) The present value factor for annuities is calculated as: (1 + present value factor)/r (1 present value factor)/r Present value factor + (1/r) (Present

1) The present value factor for annuities is calculated as:

(1 + present value factor)/r

(1 present value factor)/r

Present value factor + (1/r)

(Present value factor*r) + (1/r)

2) The future value factor for annuities is calculated as:

Future value factor + r

(1/r) + (future value factor*r)

(1/r) + future value factor

(Future value factor 1)/r

(Future value factor + 1)/r

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!