What is the PVA of an ordinary annuity with 10 payments of $100 if the appropriate interest rate is 10%? What would the PVA be if the interest rate was 4%? What if the interest rate was 0%? How would the PVA values differ if we were dealing with annuities due? 

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To calculate the Present Value of an ordinary annuity you can use the formula PVA P 1 1 rn r where PVA Present Value of the annuity P Payment amount r ... View the full answer