Which of the following statements regarding growing perpetuities is FALSE?
A) We assume that r

Question

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

Quizplus · Accepted Answer

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

Which of the Following Statements Regarding Growing Perpetuities Is FALSE