The present value (PV) of an immediate annuity can be calculated using the formula:

[ PV = P \times \frac{1 - (1 + i)^{-n}}{i} \right)}{i} ]

Given that ( n = 10 ) payments and a payment ( P = \$100 ), and an interest rate ( i = 5\% ) or ( i = 0.05 ), the present value of this annuity would be:

[ PV = 100 \times \left(\frac{1 - (1 + 0.05)^{-10}}{0.05}\right) ]

Let's calculate it:

[ PV = 100 \times \left(\frac{1 - 0.95^{-10}}{0.05}\right) \approx 100 \times 6.109024 ]

[ PV \approx 610.9024 ]

So, the present value of the immediate annuity with 10 payments of $100 each, discounted at a 5% annual interest rate, is approximately $610.90.