Which of the following is a single cash flow per year forever into the future?
A) Annuity
B) Infinite annuity
C) Perpetuity
D) Inflation rate
E) Infinite cash flow

Question

Quizplus · Accepted Answer

A perpetuity is a cash flow that continues forever, with a fixed amount received at regular intervals (usually annually). An annuity is a cash flow with a fixed amount received at regular intervals but has a finite duration, while an infinite annuity is a cash flow with a fixed amount received at regular intervals, but there is no fixed end date. Inflation rate and infinite cash flow are not options that fit the description given.

Which of the Following Is a Single Cash Flow Per