In this lesson, we explain what the Present Value of an ordinary annuity is and the formula to calculate the Present Value (PV) of an ordinary annuity. We also explain and go through examples of how to calculate the Present Value (PV) of an ordinary annuity when there is compounding. We go through various examples with compounding annually (yearly), and compounded monthly.
Other Time Value of Money Examples:
Present Value of an Annuity Due | Formula with Examples: • Present Value of an An...
Solve for Payment (PMT) and Total Interest of an Ordinary Annuity: • Solve for Payment (PMT...
Present Value Formula Lump Sum (single amount) | Formula with examples: • Present Value Formula ...
How to calculate Future Value of a Lump Sum (single amount) | Formula with Examples: • How to calculate Futur...
Future Value of an Ordinary Annuity | Formula with Examples: • Future Value of an Ord...
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