types of annuity

Discussion Question 3 – CLO 1, CLO 2, CLO 3, CLO 4, CLO 5

Please answer each of the following questions in detail and provide in-text citations in support of your argument. Include examples whenever applicable. Make sure to provide examples for each of the questions below.

1. Define and discuss the time value of money in the context of compounding interest.
2. Explain what an annuity is and what are the two most common types of annuity. Explain how the present value and future value of an annuity is determined.
3. Extend the notion of compounding mentioned in your answer to part “a” above to general situations where compounding is induced by growth, inflation, or deflation.

 

Note:

1. Define the words in your own words. Do not directly quote from the textbook.

2. Need to write at least 3 paragraphs

3. Need to include the information from the textbook as the reference.

4. Need to include at least 2 peer-reviewed articles as the reference.

5. Need to provide examples whenever applicable.

6. Please find the related PowerPoint and textbook in the attachment. 

7. Please answer each of the following questions in detail and provide in-text citations in support of your argument. Include examples whenever applicable.

8. Please find the Course Learning Outcome list of this course in the attachment

Textbook Information:

Ross, S. A., Westerfield, R. W., & Jordan, R. D. (2018). Fundamentals of corporate finance (12th ed.). McGraw-Hill

ISBN: 9781259918957