Present Value of Annuity

Have you ever wondered the present value of annuity?  If you would like to determine as we speak’s worth of a sequence of future payments, you need to use the formula that calculates the present value of an peculiar annuity. This is the formula you’ll use as part of a bond pricing calculation. The PV of extraordinary annuity calculates the present worth of the coupon payments that you will receive in the future.