4. Ordinary Simple Annuities: The Basics

An introduction to determining the future value and present value of annuties and determining the payment size.
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Instructed by Helen Dakin Business / Finance
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  • Lectures 17
  • Length 1.5 hours
  • Skill Level All Levels
  • Languages English
  • Includes Lifetime access
    30 day money back guarantee!
    Available on iOS and Android
    Certificate of Completion
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About This Course

Published 1/2014 English

Course Description

This short course is a comprehensive guide to solving all sorts of ordinary simple annuity problems. I will provide you with a neat comprehensive set of notes for all of the examples. You will develop a sense of confidence as you progress through these problems from the simplest ones to more complex problems. They will all be reduced into smaller components that look just like the simplest problems.

You will also be instructed on the use of the built-in functions for the BA II Plus financial calculator which will be a great time saver to you (provided you understand the basics). This course will take you about 3-4 days to complete with about 2 hours spent on each section.

You will also be able to test your understanding of the material with quizzes that are provided at the end of each section.

What are the requirements?

  • you will need a financial calculator if you intend to use the built-in financial functions
  • if you do not have a financial calculator, any scientific calculator with an exponent function (y**x) and at least one memory storage location will be sufficient
  • you will need to be able to solve simple algebraic equations

What am I going to get from this course?

  • you will be able to determine the Final Value of an ordinary simple annuity
  • you will be able to determine the Present Value (or cash value) of an ordinary simple annuity
  • you will be able to determine the size of the annuity payment required to reach a given future amount
  • you will be able to determine the size of the annuity payment from a stated present value or cash value

Who is the target audience?

  • students who are taking courses in business finance
  • students in a Business Program
  • students in a CFA program
  • students who need a review or refresh on annuity calculations
  • students who need help in use of their BA II Plus Financial calculator
  • students who need some tutorial assistance with the added flexibility of scheduling their own time

What you get with this course?

Not for you? No problem.
30 day money back guarantee.

Forever yours.
Lifetime access.

Learn on the go.
Desktop, iOS and Android.

Get rewarded.
Certificate of completion.


Section 1: Ordinary Simple Annuities and Future Value Calculations
7 pages

These notes should be printed prior to viewing the video lessons.


this video is the introduction to the first lecture on ordinary simple annuities and includes example 1

Future Value - example 2
Future Value - example 3
Future Value - example 4
quiz 1
2 questions

We summarize what the future value formula gives us.

Section 2: The Present Value Formula and Calculations
Present Value: WORKBOOK and video notes
5 pages
ordinary simple annuities: Present Value - example 1
Present Value - example 2
Present Value - example 3
present value
3 questions
Section 3: How to Solve for the Payment Size in an Annuity
Solving for the Payment Size - WORKBOOK and video notes
6 pages
ordinary simple annuities: Solve for Payment - example 1
Solve for Payment - example 2
Solve for Payment - example 3
Solve for Payment - example 4
solve for the payment
2 questions

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Instructor Biography

Helen Dakin, Learning & Development (L&D)

Hi. I hold a 4 year Bachelor of Mathematics degree from the University of Waterloo and a B Ed (Honours) from the University of Western Ontario. While I have been trained as a high school mathematics educator, I have had the pleasure of teaching mathematics at the post secondary level for four community colleges in southern Ontario. When I am not teaching, I like to fool around with my camera, muck about in my garden, read a good book and sail around in my boat. Not necessarily in that order. Browse through all of my Udemy courses on Mathematics of Finance.

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