An annuity is a series of equal payments occuring at equal time intervals, and t

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An annuity is a series of equal payments occuring at equal time intervals, and this amount includes the sum of all payments plus interest, if allowed to accumulate at a definite rate of interest from the time of initial payment to the end of annuity term. Ordinary annuity is used in the calculation of the

Options:

A . Manufacturing cost

B . Depreciation by sinking fund method

C . Discrete compound interest

D . Cash ratio

Answer: Option B

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