Classify the Type of Annuity Described in the Following Scenario

question 137

Short Answer

Classify the type of annuity described in the following scenario.
A student loan carrying interest of 2.5%, compounded quarterly is repaid with payments of $1000 at the end of every three months.

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Definitions:

Hypnosis

A trance-like state of focused attention, reduced peripheral awareness, and an enhanced capacity to respond to suggestion.

Physical Strength

The maximum force that muscles can exert against some form of resistance in a single effort.

Childhood Memories

Recollections of past experiences and events that occurred during one's childhood years, influencing personality and psychological development.

Hypnosis

A state of heightened suggestibility, focused attention, and relaxation, often used for therapeutic purposes.