Which One of the Following Is an Ordinary Annuity, but Not

question 22

Multiple Choice

Which one of the following is an ordinary annuity, but not a perpetuity?

• A) $75 paid at the beginning of each month period for 50 years
• B) $15 paid at the end of each monthly period for an infinite period of time
• C) $40 paid quarterly for five years, starting today
• D) $50 paid every year for ten years, starting today
• E) $25 paid weekly for one year, starting one week from today

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Definitions:

Structuring

The act of organizing or arranging parts or elements of something in a systematic way to form a coherent unit or structure.

Groupthink

A psychological phenomenon that occurs within a group of people, where the desire for harmony or conformity results in an irrational or dysfunctional decision-making outcome.

Silent Brainstorming

A method of generating ideas or solutions without verbal discussion, typically by writing down thoughts individually to be shared collectively later.

Excess of Interaction

A situation where the amount of communication or social engagement exceeds what is necessary or comfortable, potentially leading to negative consequences.