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.
Correct Answer:
Verified
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Q33: Consider the following timeline: Q35: Consider the following timeline: Q36: Consider the following timeline detailing a stream Q39: At an annual interest rate of 7%,the Q39: Consider the following timeline detailing a stream Q40: Consider the following timeline detailing a stream Q41: Which of the following formulas is INCORRECT? Q46: Use the information for the question(s)below.![]()
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A)PV
Assume that
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