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The Difference Between the Future Value of an Annuity and the Future

Question 25

Multiple Choice

The difference between the future value of an annuity and the future value of an annuity due is


A) The future value of an annuity has recurring payments or receipts, and the future value of an annuity due receives or pays the amount only once.
B) The future value of an annuity due has recurring payments or receipts, and the future value of an annuity receives or pays the amount only once.
C) The future value of an annuity due receives payments at the beginning of each period, and the future value of an ordinary annuity receives payments at the end of each period.
D) The future value of an annuity receives payments at the beginning of each period, and the future value due of an annuity receives payments at the end of each period.

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