1. **State the problem:** We are given the number of periods $n=19$, the interest rate per period $i=0.055$, and the payment amount $PMT=203$. We need to find the present value $PV$. 2. **Formula used:** The present value of an annuity formula is $$PV = PMT \times \frac{1 - (1+i)^{-n}}{i}$$ This formula calculates the current worth of a series of future payments, discounted at the interest rate $i$ over $n$ periods. 3. **Calculate the present value:** First, calculate $(1+i)^{-n}$: $$ (1+0.055)^{-19} = 1.055^{-19} $$ Calculate $1.055^{19}$: $$ 1.055^{19} \approx 2.7187 $$ So, $$ 1.055^{-19} = \frac{1}{2.7187} \approx 0.3679 $$ 4. Substitute into the formula: $$ PV = 203 \times \frac{1 - 0.3679}{0.055} = 203 \times \frac{0.6321}{0.055} $$ 5. Simplify the fraction: $$ \frac{0.6321}{0.055} = \cancel{\frac{0.6321}{0.055}} $$ Calculate: $$ \frac{0.6321}{0.055} \approx 11.493 $$ 6. Multiply by $PMT$: $$ PV = 203 \times 11.493 = 2333.08 $$ **Final answer:** $$ \boxed{PV = 2333.08} $$ This means the present value of the annuity is approximately 2333.08.