pvYearlyAnnuityCompQuarterly {tvmComp}

Computing Present Value of Yearly Paid Ordinary Annuity or Annuity Due that is Compounded Quarterly.

Description

Computing Present Value of Yearly Paid Ordinary Annuity or Annuity Due that is Compounded Quarterly.

Usage

pvYearlyAnnuityCompQuarterly(r, n, pmt, bgn)

Arguments

r

A number.

n

A number.

pmt

A number.

bgn

A number.

Details

As explained by Hummelbrunner,S.A. et al. (2020), the description of the compounding frequency is usually contained within the phrase that describes the nominal interest rate. An example would be 8 percent compounded quarterly This means that the nominal, or annual, interest rate of 8 percent is compounded four times each year at 8/4 that is 2 percent, each period. So the method pvYearlyAnnuityCompQuarterly() is developed to Compute Present Value(PV) of Yearly Paid Ordinary Annuity or Annuity Due that is compounded Quarterly.The method gives PV when values are passed to its four arguments. Here r is annual rate, n is number of years,pmt is amount of one annuity and bgn is the computational mode. (Enter 1 when annuity payment occurs at the beginning of the period; 0 for end of period payments).

Value

Input values to four arguments r , n , pmt and bgn

Author(s)

MaheshP. Kumar, [e-mail]

References

Hummelbrunner,S.A., Halliday,K., Hassanlou,A.R. (2020). Contemporary Business Mathematics with Canadian Applications (12th Edition). Pearson Education Canada. ISBN 9780135285015, https://bookshelf.vitalsource.com/books/9780135406380.

Examples

pvYearlyAnnuityCompQuarterly(0.11,4,-300,0)
pvYearlyAnnuityCompQuarterly(0.11,4,-300,1)
pvYearlyAnnuityCompQuarterly(0.11,4,300,0)
pvYearlyAnnuityCompQuarterly(0.11,4,300,1)