Which of the following phrases is not descriptive of an ordinary annuity?
A)Payments made at the beginning of equal periods of time
B)Both present and future value can be calculated
C)Compound interest assumed
D)Series of equal payments

Question

Quizplus · Accepted Answer

An ordinary annuity refers to a series of equal payments made at the end of each period. Option A describes an annuity due, which is a type of annuity where payments are made at the beginning of each period.

Which of the Following Phrases Is Not Descriptive of an Ordinary