Assuming equal time intervals between the payments and a constant rate of return, which of the following cash flow patterns represents an annuity? Year 1 Year 2 Year 3 Year 4 Year 5 Year 6A)$1060?  $1060?  $1060?  $1060?  $1060?  $1060? B)$590?  $0?  $590?  $590?  $590?  $0? C)$130?  $230?  $330?  $430?  $530?  $630? 

A. A
B. B
C. C
D. Any of the answers can represent an annuity.


Answer: A

Business

You might also like to view...

Management can assemble a summary set of relevant internal and external measures in a marketing dashboard for synthesis and interpretation

Indicate whether the statement is true or false

Business

Mandy's Printing Inc. manufactures and sells photocopiers, printers, and scanners to various offices. This is an example of__________

Fill in the blanks with correct word.

Business

Of the steps in the decision-making model discussed in the textbook, which element below is not included?

a. Weigh decision criteria b. Generate alternatives c. Rate alternatives d. Estimate emergence

Business

A sale involving both goods and services is known as a mixed sale

Indicate whether the statement is true or false

Business