The only difference between an ordinary annuity and an annuity due is:

Question

Accepted Answer

B. One period

1. Both have the same payments and the same rate.
2. Only the timing of the first payment shifts.
3. The difference is one period of interest.
_Source: OpenStax Principles of Finance 2e, Chapter 8, Time Value of Money II._

Answer

One decimal

Answer

One payment

Answer

One percent

The only difference between an ordinary annuity and an annuity due is:

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