Question: Discuss the differences in the computations used for the Present Value of a Lump Sum and the Present Value of an Annuity. Explain the difference

Discuss the differences in the computations used for the Present Value of a Lump Sum and the Present Value of an Annuity. Explain the difference between an annuity and a lump sum.

What makes the present value computations differ from the Future Value computation? Come up with a real life scenario where any of these calculations are applicable.

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