An annuity is a series of equal, or nearly equal, periodic payments or receipts. These payments could be for loans, investments, or pensions, providing a predictable stream of income over a specified period.
The remaining amount after subtracting relevant values, such as the outstanding principal on a loan or the remaining funds in an account.
A Certificate of Deposit (CD) is a financial product commonly offered by banks and credit unions that provides an interest rate premium in exchange for the customer's commitment to leave a lump-sum deposit untouched for a predetermined period.
The Compound Amount of One Per Period represents the final value of a series of $1.00 deposits made at each period, with interest compounded at each period.
A deposit account is an arrangement whereby an individual or organization places cash with a financial institution for safekeeping. The institution can invest the cash and pay the depositor a specified interest while allowing the depositor to reclaim the full value of the account following agreed-upon procedures.
A sinking fund is a reserved account used for saving up for a specific future expense. Over time, through continuous contributions and compound interest, the fund grows to the desired amount.
