6. Annuities Due and Deferred

Learn about annuities due and deferred annuities in this concise course! Discover how the timing of payments impacts the present and future value of annuities. We'll explore the differences between ordinary annuities and annuities due, focusing on the adjustments needed for payments made at the beginning of each period.

This course provides a solid introduction to the mathematics of finance, specifically focusing on annuity formulas and problem-solving techniques. You'll learn how to calculate the value of deferred annuities, which involve postponing the first payment by one or more interest periods.

What you'll gain:

• Understand the key differences between ordinary annuities and annuities due.
• Learn to apply formulas for annuity due calculations.
• Explore the concept of deferred annuities and their valuation.
• Develop skills in solving finance problems related to annuities.
• Gain a foundational understanding of how time and interest rates affect the value of money.

Course Structure:

You'll receive comprehensive course notes to accompany video lectures and exercises. The course is designed to take approximately 3-4 days to complete, but pace may vary. Regular quizzes will help you assess your understanding throughout.

Resources Needed:

• Financial calculator: Highly recommended for working through examples.
• Scientific calculator: A scientific calculator with exponent and logarithm functions is an acceptable alternative.
• Compound Interest learning materials (optional, but recommended for deeper understanding).

Don't hesitate to ask questions! Use the message system to connect with the instructor for support. Your progress will be monitored to ensure you're mastering the concepts. This course is perfect for anyone looking to strengthen their knowledge of financial calculations and investment principles.