What Is the Present Value of an Annuity Formula and What Are Annuities?

If you already know the concept of Perpetuities, the concept of Annuities is very easy. It’s very similar to Perpetuities, only that the payments are not forever. Instead of forever, these payments come in only for a fixed time period.

Let’s say I gave you a piece of paper or certificate, and it promised that I would pay you $10 per year for exactly 12 years, and then I would stop paying you immediately after that. Is this still a “perpetuity”? It still consists of regular payments of equal amounts, just like a perpetuity, but it is not forever; it has a limited time period. So in this case, it’s not called a perpetuity, but an “annuity.”

So now, just like in the case of a perpetuity, an important question now is… how much are you willing to pay me for that piece of paper? How much are you willing to pay for this “annuity”?

For this, you would use the Present Value of an Annuity Formula. For general managers, there’s no need to know the actual step by step process on calculating this, as it can easily be done by accountants or by free calculators online as well as smartphone apps. However, if you need to learn the process yourself, you can watch tons of free online tutorial videos from many different websites as well as YouTube.

Real-Life Application

Let’s say you are offered to invest your severance pay (or retirement pay, or similar lump sum) of $10,000 with a pension company or investment company, and they promise to pay you $600/year for 30 years. An ordinary person might think it’s a good deal because $600/year x 30 years = $18,000, which will be much more than the original $10,000 investment.

However, using the Present Value of an Annuity Formula, you will find that the “fair value” of this annuity is actually only $9,223 if interest rates are at 5%… and that you are therefore “overpaying” if you pay anything more than $9,223. In other words, if you pay anything more than $9,223, then you’re just as good or even better off putting your money in the bank instead, and earning interest from the bank (or other “risk-free” investment). At $9,223, the rate of return of your investment/pension will be exactly equal to the rate of return of putting your money in the bank. If you pay more than $9,223 for your investment, then your investment’s rate of return will be lower than your return from the bank.

The Purpose of Outdoor Wedding Lighting Is to Improve the Spirits of the Guests Present

An outdoor event allows you to expand the area of the venue and hence, make the decorations much more beautiful and attractive. Indoor events offer only a small amount of limited space to hold the party or social event. On the contrary, holding the event in an outdoor venue will provide a large amount of space for the entire party and one also has the options to include a swimming pool, trees, lawns and whatever else may be available to make the decorations more stunning. Now, regardless of whether the event is being held outdoor or indoor, proper colorful lights are an important part of the decorations. In the case of an indoor event, the use of proper lighting sets up the tone for the party and while it does the same for an outdoor event, it is also used to give the occasion a feel of the nature. It is said that the right type of outdoor event lighting can give an event the perfect start but similarly, setting up the decorations with the wrong kind of lightings can easily break an event and dampen the mood of every single person present. Hence, it is very important to make the choice of lights very carefully according to the needs and demands of the occasion. The lights chosen should not be dull but at the same time, not be overtly bright and all colors! The perfect blend of both is what gives the outdoor event lighting and the occasion the perfect mood.

One of the most special and memorable events in a person’s life is their wedding. This event marks the beginning of a new chapter of their life. Along with the couple, it also forms the base for the union of two families. Hence, this occasion needs the perfect beginning. Along with the main wedding and other arrangements, the decorations of the event also form an important part of the occasion. The decoration and the lighting help to improve the mood of the event and enhance the rejoicing spirits of the guests. The basic task of outdoor wedding lighting is to give the occasion a more beautiful and attractive appearance and makes it a memorable event. There are several types of wedding lights that can be used to create an attractive theme for the wedding party. There are many types of LED lights along with other forms of lights that can be used in different patterns to enhance the decorations.

There are several aspects to keep in mind when making the choice of the best lighting for the wedding. The location of the wedding, the area to be covered with lights and the theme of the event are important things to consider when selecting the right kind of lights for the outdoor wedding lighting. Also, your total budget for the entire event is important to remember. You definitely would not want to spend more money than you intend to. In that case, you would have to make compromises with either your budget or with other supplies of the event. Hence, it is important to carefully plan the event and the decoration before setting out to purchase the lightings.

Business Card Printing Remains the Best Way to Present You

Marketing is key to any business today and such an ethos extends to individual employees as much as the organization as a whole. It is for this reason that fundamental details are so important, such as the business card. Printing the right card though, from the right company and in the best way, is not just a question of selecting the cheapest option; particularly to make a great first impression.

Even today, with the use of social networks and cell phones now a part of everyday life, nothing presents professional business persons better than a sharp and crisp business card. Here is how you can ensure your cards work as hard as you do:

The free business card printing option

There are a whole truckload of free business cards available online today and for some people, these are ideal. Students who simply want to have a little fun with their friends and college or high school pals will get many benefits and for those starting out with nothing to their name may be able to get away with these for a while.

For the serious business though, knowing that when your new acquaintance flips your card and can see it is a freebie, it is not going to play too well. It is not all about your numbers, but it certainly is not a sign that the business is being taken seriously. Do that and your contacts will do the same.

A personal business card printing service

Working with a professional print company to design, layout and print your business cards allows you not just to represent yourself professionally, but to own how you come across. We all have our own ideas for how we want to come across, and that is where such a professional service comes into its own.

Right from the start you should be involved in the process, from setting the template and fonts used, to selecting the colors and images, with support and advice where you need it. With dedicated and expert printing company support too, your ideas can be honed and perfected, to deliver your message, your way.

It is all about doing things how you want, whether using online services or heading in store for a face to face. There is a lot to be said for local companies too, particularly when supported by a nationwide chain. This ensures that the training and experience delivers a winning product, but with a personal relationship attached.

Choosing a business card printing company

To allow your business cards to be the best they can be, it is essential certain considerations are taken into account. For example, the company should provide extensive options for your card design and be able to tailor any design to your exact specifications.

They should also use state of the art equipment and materials. This ensures that texts are sharp, images are rich and the entire product crisp, clean and professional. A national chain can provide this, whilst they also stay ahead of market and sector developments to offer only the best services to their customers.

Whether you are in need of some sharp, black and white business cards or full-color glossy designs, selecting the right business card printing company boosts results. Get this right, and your attendance at the next network event or business meeting can end appropriately, giving the best chance of securing new potential customers and contacts for your business.