anyone explain to me the ordinary annuity ?
Answer should be in the text for you, but here you go… An ordinary annuity is a series of periodic cash flows (by definition annual, but also applies to semi-annual, quarterly, monthly, and other schedules) where the payments are made at the end of the period. The reason the word “ordinary” is important is because an annuity due has payments made at the beginning of the period. You won’t see this in the text, but a good example of an ordinary annuity is a mortgage, where the payment you make is for the month you HAVE JUST SPENT living in the dwelling, where an example of annuity due is a rent, where the payment you make is for the month you are ABOUT TO SPEND living in the dwelling.