What is the present value annuity factor at an interest rate of 9% for 6 years?
A) 7.5233
B) 4.4859
C) 1.6771
D) None of the above

Question

Quizplus · Accepted Answer

The present value annuity factor for an interest rate of 9% over 6 years is calculated using the formula: PVAF = (1 - (1 + r)^-n) / r, where r is the interest rate and n is the number of periods. Plugging in the values, PVAF = (1 - (1 + 0.09)^-6) / 0.09 = 4.4859.

What Is the Present Value Annuity Factor at an Interest