Which Timing of Payments Is True for an Ordinary Annuity

question 2

Multiple Choice

Which timing of payments is true for an ordinary annuity?

• A) All payments occur at the beginning of the first year.
• B) Payments begin immediately and occur once per year on the last day of each year.
• C) Payments occur at the end of each period.
• D) Payments occur at the beginning of each period.

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