increasingAnnuity: Increasing annuity.

In lifecontingencies: Financial and Actuarial Mathematics for Life Contingencies

Increasing annuity.

Description

This function evaluates non - stochastic increasing annuities.

Usage

	increasingAnnuity(i, n, type = "immediate")

Arguments

i	A numeric value representing the interest rate.
n	The number of periods.
type	The Payment type, either "advance" for the annuity due (default) or "arrears" for the annuity immediate. Alternatively, one can use "due" or "immediate" respectively (can be abbreviated).

Details

An increasing annuity shows the following flow of payments: 1,2,\ldots,n-1,n

Value

The value of the annuity.

Warning

The function is provided as is, without any guarantee regarding the accuracy of calculation. We disclaim any liability for eventual losses arising from direct or indirect use of this software.

Note

This function calls internally presentValue function.

Author(s)

Giorgio A. Spedicato

References

Broverman, S.A., Mathematics of Investment and Credit (Fourth Edition), 2008, ACTEX Publications.

See Also

decreasingAnnuity,IAxn

Examples

	#the present value of 1,2,...,n-1, n sequence of payments, 
	#payable at the end of the period
	#for 10 periods is
	increasingAnnuity(i=0.03, n=10)
	#assuming a 3% interest rate

lifecontingencies documentation built on July 9, 2023, 6:10 p.m.