Annuity Due beginning, something, ordinary, payments

cyber21

I wanted to make sure my thinking is on the right lines on this...


If it an annuity due then while calculating we always take N = no of periods -1 as the first payment is at t=0 and for an ordinary annuity N= number of periods??

I was a little confused after reading Schweser.. They had taken N=no of periods even for payments occuring at the beginning of the year and calculated the PV. They had then cacluated the PV(1+i) to get the right present value?

Am i getting something wrong here.. Can someone clarify?