(Answered) Present value of annuityquestion what is the present value

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Present Value of Annuity

Question: What is the present value of a 4-year annuity, if the annual interest is 5%, and the annual payment is $1,000?

Solution-i = 5%; PMT = $1,000; t =4; PV = ?

PV = 1,000 /(1.05) + 1,000/(1.05)²+ 1,000/(1.05)³+ 1,000/(1.05)⁴

Is my calculation correct? Please explain

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