Question: please answer 4(pv),5(fv),6(pv ord ann), and 7(difference) Exercise #3: An annuity due pays $400 a year for 4 years ? r=6%. What is its PV?

please answer 4(pv),5(fv),6(pv ord ann), and 7(difference)

Exercise #3: An annuity due pays $400 a year for 4 years ? r=6%. What is its PV? What is its FV in 4 years? Draw the time line, show your work or calculator entries. ---- PV = FV = = $..........[4)............. = $ ..[5). HERE By how much is the annuity due in Exercise #3 worth (PV) more than a 4-year $400 ordinary annuity? PV Ord Ann = $..............[6)......... Difference = $............[7)

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