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Which of the Following Statements Regarding Perpetuities Is FALSE

Question 25

Multiple Choice

Which of the following statements regarding perpetuities is FALSE?


A) To find the value of a perpetuity one cash flow at a time would take forever.
B) A perpetuity is a stream of equal cash flows that occurs at regular intervals and lasts forever.
C) PV of a perpetuity = Which of the following statements regarding perpetuities is FALSE? A) To find the value of a perpetuity one cash flow at a time would take forever. B) A perpetuity is a stream of equal cash flows that occurs at regular intervals and lasts forever. C) PV of a perpetuity = D) One example of a perpetuity is the British government bond called a consol.
D) One example of a perpetuity is the British government bond called a consol.

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