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The Growing Perpetuity Present Value Formula Assumes That

Question 27

Multiple Choice

The growing perpetuity present value formula assumes that


A) g = r and the time periods are limited in number.
B) g < r and the time periods are regular and discrete.
C) the growth rate increases as time progresses.
D) the first cash flow occurs at Time 0.
E) g < r and the time periods are finite.

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