To determine the converted table factor for the present value of an annuity due, one must find the factor for the present value of an ordinary annuity for
A)n + 1 rents and then subtract 1
B)n - 1 rents and then subtract 1
C)n + 1 rents and then add 1
D)n - 1 rents and then add 1

Question

Quizplus · Accepted Answer

To determine the converted table factor for the present value of an annuity due, one must find the factor for the present value of an ordinary annuity for n - 1 rents and then add 1.

To Determine the Converted Table Factor for the Present Value