Which of the following statements regarding growing perpetuities is FALSE?
A) A growing perpetuity is a cash flow stream that occurs at regular intervals and grows at a constant rate forever.
B) PV of a growing perpetuity =
C) We assume that r < g for a growing perpetuity.
D) To find the value of a growing perpetuity one cash flow at a time would take forever.
Correct Answer:
Verified
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