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Unformatted text preview: N-1 /I] and FVA n = [PMT(1+I) n-1 ] + [PMT(1+I) n-2 ] + [PMT(1+I) n-3 ] Future Value of an Annuity Due: FVA due = FVA ordinary (1+I) Periodic Rate (Iper) = Stated Annual Rate / # of Payments per year = I/M Effective Annual Rate (EAR): [ 1 + (I nom /M)] Number of Periods = (# of years)(periods per year) = NM...
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This note was uploaded on 06/12/2011 for the course FINC 302 taught by Professor Lawrence during the Spring '11 term at Nicholls State.
- Spring '11