Anualidades | Matemáticas financieras
Understanding Annuities
Concept of Annuities
- An annuity is defined as a series of equal payments made at regular intervals, regardless of the time frame (e.g., monthly or yearly) .
- Example: Payments of 500 pesos every month for six months also qualify as an annuity, demonstrating that the duration does not have to be in years .
Types of Annuities by Time
Certain vs. Contingent Annuities
- Certain Annuity: Defined with a clear start and end date; e.g., purchasing a television with six monthly payments of 1,000 pesos. The payment schedule is known from the beginning .
- Contingent Annuity: Uncertain terms; e.g., a scholarship dependent on maintaining a GPA. Payments may vary based on conditions met, leading to potential early termination if conditions are not satisfied .
Types of Annuities by Interest Behavior
Simple vs. General Annuities
- Simple Annuity: Payments coincide with interest capitalization; e.g., depositing 20,000 every six months into an account where interest is compounded semi-annually. Capitalization occurs when deposits are made .
- General Annuity: Payments do not align with interest capitalization; e.g., monthly deposits into an account where interest is compounded annually. Here, capitalizations occur independently from deposit timing .
Payment Timing Classifications
Vencida vs. Anticipada
- Vencida (Due): First payment occurs at the end of the first period; e.g., paying for a television after one month has passed since purchase [].
- Anticipada (Advance): First payment occurs at the beginning of the period; e.g., receiving scholarship funds at the start rather than after completing a month [].
Immediate vs. Deferred Annuities
Definitions and Examples
- Immediate Annuity: Payments begin right away after initiating the contract; e.g., starting payments immediately upon purchasing a television [].
- Deferred Annuity: Payments start after some delay post-purchase; e.g., buying a television but commencing payments three months later [].