Business Mathematics

It refers to a sequence of payments made at equal (fixed) intervals or periods.

• Payment
• Installment
• Annuity
• Deposit

An annuity where the payment interval is the same as the interest period

• Immediate annuity
• Fixed annuity
• Deferred annuity
• Simple annuity

An annuity where the payment interval is not the same as the interest perioA

• Fixed annuity
• Ordinary annuity
• Perpetuity
• General Annuity

Formula in computing Future Value of a loan.

• F = P + (1 + r)^n

• F = P * (1 + r)^n

• F = P * r * n

• F = P / (1 + r)^n

Interest that is simply calculated on the basis of the principal amount.

• Accrued interest
• Simple interest
• Compound interest
• Complex interest

Which type of annuity involves payments that continue forever?

• Perpetuity

• Fixed annuity

• Deferred annuity

• Ordinary annuity

A type of annuity in which the payments are made at the beginning of each payment interval

• Ordinary annuity
• Deferred annuity
• Fixed annuity
• Annuity due

An interest that is calculated based on the principal amount and the accumulated interest from the periods.

• Compound Interest

• Simple Interest

• Accumulated Interest

• Interest Due

A share in the ownership of a company.

• commodity
• bond
• stock
• currency

The per share amount as stated on the company certificate. It is determined by the company and remains stable over time.

• Book value
• Par value
• Market value
• Face value