The present value of a perpetual stream of income that flows continually at the rate of dollars per year is given by the formula where is the interest rate compounded continuously. Using this formula, find the present value of a perpetual net income stream that is generated at the rate of dollars per year.
Hint: .

Question

The present value of a perpetual stream of income that flows continually at the rate of  dollars per year is given by the formula  where  is the interest rate compounded continuously. Using this formula, find the present value of a perpetual net income stream that is generated at the rate of  dollars per year.
Hint:  .

Quizplus · Accepted Answer

The Answer of The present value of a perpetual stream of income that flows continually at the rate of  dollars per year is given by the formula  where  is the interest rate compounded continuously. Using this formula, find the present value of a perpetual net income stream that is generated at the rate of  dollars per year.
Hint:  .

The Present Value of a Perpetual Stream of Income That