To Determine the Future Value Factor for an Annuity Due

question 106

Multiple Choice

To determine the future value factor for an annuity due for period n when given tables only for an ordinary annuity:

• A) Obtain the FVA factor for n + 1 and deduct 1.
• B) Obtain the FVA factor for n and deduct 1.
• C) Obtain the FVA factor for n - 1 and add 1.
• D) Obtain the FVA factor for n + 1 and add 1.

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Definitions:

Nematocyst

A specialized cell in the tentacles of a cnidarian, such as a jellyfish, containing a barbed or venomous coiled thread that can be projected in self-defense or to capture prey.

Cnidarians

A phylum of aquatic invertebrates known for their specialized cells called cnidocytes, which they use for capturing prey.

Polyp Form

A type of body form in cnidarians, such as corals and sea anemones, characterized by a cylindrical shape and a mouth surrounded by tentacles.

Ciliated Larvae

Larval forms of certain aquatic animals, particularly some mollusks and annelids, which have cilia (tiny hair-like structures) for movement and feeding.