Future value of an annuity due
Description
Future value of an annuity is the future value of a stream of payments (annuity), assuming the payments are invested at a given rate of interest.
An annuity-due is an annuity whose payments are made at the beginning of each period. Deposits in savings, rent or lease payments, and insurance premiums are examples of annuities due.
Variables
| FVAd | Future value of the annuity due (dimensionless) |
| A | The value of the individual payments in each compounding period (dimensionless) |
| i | The discount rate, or the interest rate at which the amount will be compounded each period (dimensionless) |
| n | The number of periods (dimensionless) |