Which Is NOT Correct Regarding an Ordinary Annuity and Annuity

question 19

Multiple Choice

Which is NOT correct regarding an ordinary annuity and annuity due?

• A) An annuity is a series of equal payments.
• B) The present value of an ordinary annuity is less than the present value of an annuity due (assuming interest rate is positive).
• C) As the interest rate increases,the present value of an annuity decreases.
• D) As the length of the annuity increases,the future value of the annuity decreases.

---

Definitions:

Frontal

Pertaining to the forehead or the frontal bone of the skull, often used in reference to the lobe of the brain located behind the forehead.

Temporal Bones

Paired bones that form part of the side and base of the skull, housing the organs of hearing and equilibrium.

Hyoid Bone

A horseshoe-shaped bone situated in the anterior midline of the neck between the chin and the thyroid cartilage, supporting the tongue and serving as an attachment point for muscles of the lower jaw and neck.

Articulate

To form a joint or connection that allows movement between two or more bones.