Posted by Stumpped on Accounting on Wednesday, March 31, 2010 at 5:25pm.
I need an understanding of a few matters in my accounting class:
1) what are annuities and why is it necessary to calculate there present value?
2) How does the frequency of interest compounding, regardless of the rate of interest or period of accumulation affect the future value of any given amount?
3) How might you use the principles of time value of money to your financial benefit?
I am doing a paper on financial management. I have all other research done, but the instructor wants these included. Can you help me find some good websites that would answer these questions?
Thank you very much.

accounting  Ms. Sue, Wednesday, March 31, 2010 at 5:29pm
http://www.google.com/search?source=ig&hl=en&rlz=1G1GGLQ_ENUS374&q=annuities+present+value
http://www.google.com/search?source=ig&hl=en&rlz=1G1GGLQ_ENUS374&q=frequency+of+interest+compounding

accounting  Stumpped on Accounting, Wednesday, March 31, 2010 at 5:39pm
Ms. Sue,
Thank you for the websites. I will look into them. I do have another question for you: I do understand the formulas for future value and present value, but I want to make sure that I am on the right track with this one.
Future value:
$5,000 compounded quarterly at 6% for 5 years. Is my forumula correct?
5000(1.06/4)^5*4= $6,734,23

accounting  ms carol, Thursday, July 28, 2011 at 1:17pm
5,000(103)^10
Answer This Question
Related Questions
 Accounting  How does the frequency of interest compounding, regardless of the ...
 Finance  Why is time such an important factor in financial matters? How does ...
 finances  ยท Why is time such an important factor in financial matters? How does...
 college  Why is time such an important factor in financial matters? How does ...
 Business Math 205  Calculate the PRESENT VALUE of the following ORDINARY ...
 accounting  The Bean Company makes a sale with an invoice price of $97,000 on ...
 Finance for the Healthcare Professional  How does the frequency of interest ...
 finance, please help  1. Calculate the present value of an investment given the...
 business math 205  Calculate the future ANNUITIES DUE. Round to the nearest ...
 Business Math 205  Calculate the PRESENT VALUE ANNUNITIES. Round to the nearest...
More Related Questions