Question

In the Present Value of an Ordinary Annuity formula, what does the n represent?

a.
nominal interest rate
c.
number of periods
b.
number of payments
d.
decimal number of percentage

Answer 1

You kind of just need to know or look this up unfortunately

https://www.annuity.org/selling-payments/present-value/

Answer 2

@vocaloid so which one would it be because on the website it says n= number of periods in which payments will be made..... so theres two that kinda say that

Answer 3

Number of periods is closer to what n stands for

This source is a bit more clear
: https://www.investopedia.com/terms/o/ordinaryannuity.asp#toc-present-value-of-an-ordinary-annuity-example

Answer 4

thanks