6. Future value of annuities Aa Aa E There are two categories of cash flows: single cash flows, referred to as "lump sums," and annuities. Based on your understanding of annuities, answer the following questions. Which of the following statements about annuities are true? Check all that apply. An ordinary annuity of equal time eams less interest than an annuity due. When equal payments are made at the beginning of each period for a certain time period, they are treated as ordinary annuities. When equal payments are made at the beginning of each period for a certain time period, they are treated as an annuity due. Annuities are structured to provide fixed payments for a fixed period of time. Which of the following is an example of an annuity? O O A retirement fund set up to pay a series of regular payments A fund that invests in technology companies and distributes quarterly dividends for two out of four quarters per year but not always the same quarters Ashley has a large and growing collection of animated movies. She wants to replace her old television with a new LCD model, so she has started saving for it. At the end of each year, she deposits $500 in her bank account, which pays her 11% interest annually. Ashley wants to keep saving for six years and then buy the newest LCD model that is available. Ashley's savings are an example of an annuity. How much money will Ashley have to buy a new LCD TV at the end of six years? O O O O $3,362.97 $4,391.64 $3,956.43 $2,115.27 If Ashley deposits the money at the beginning of every year and everything else remains the same, she will save by the end of six years