CUET Preparation Today
Let us consider an annuity whose periodic payment is ₹R payable at the end of each payment period of 'n' periods, interest paid r% per period or $i=\frac{r}{100},$ so the amount of obligation can be given as _________. |
$A= R\begin{bmatrix}\frac{(1+i)^n-1}{i}\end{bmatrix}$ $A= R\begin{bmatrix}\frac{(1-i)^n-1}{i}\end{bmatrix}$ $A= R\begin{bmatrix}\frac{(1+i)^n}{i}-1\end{bmatrix}$ $A=R\begin{bmatrix}i^{n-1}-1\end{bmatrix}$ |
$A= R\begin{bmatrix}\frac{(1+i)^n-1}{i}\end{bmatrix}$ |
For an annuity with payment $R$ at the end of each period and interest rate per period $i$ for $n$ periods: The amount of obligation (future value of annuity) is $R\left(\frac{(1+i)^n-1}{i}\right)$ The required expression is $R\left(\frac{(1+i)^n-1}{i}\right)$. |
