Annuity Due Payment -future value : Formula Directory

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Annuity Due Payment -future value

The annuity due payment formula using future value is used to calculate each equal cash flow or payment of a series of cash flows when the future value is known. This formula is specific to annuities where the initial cash flow is received immediately.Using the future value of an annuity due to calculate payments is required for different situations than when present value is used.

$v [\frac{r}{[1 + r]^{n} - 1}] [\frac{1}{1 + r}]$

Here,v=future value,r=rate per period,n=number of periods

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Annuity Due Payment -future value

v[r [1+r] n-1][1 1+r]

$v [\frac{r}{[1 + r]^{n} - 1}] [\frac{1}{1 + r}]$