**Unformatted text preview: **P is allowed to grow.) 7. Present Value of an Investment: (The amount that must be invested now to provide for a future value.) 8. Effective Rate of Interest : (The effective rate for an account.) 9. Future Value of an Annuity: (The amount at the end for an ordinary annuity with regular payments.) 10. Present Value of an Annuity: (The present value of an ordinary annuity with regular payments.) 11. ‘Sinking Fund’ Payment for an Annuity: (The amount of a payment that will provide a future value of an ordinary annuity.) 12. Amortization Formula (Installment Payments): (The amount of an installment payment when the amount borrowed is A .)...

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