Multiple Choice
Which of the following statements regarding perpetuities is FALSE?
A) To find the value of a perpetuity by discounting 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
Correct Answer:
Verified
Q52: Consider the following timeline detailing a stream
Q53: Which of the following formulas is INCORRECT?<br>A)
Q54: An annuity is set up that will
Q55: Cash flows from an annuity occur every
Q56: Since your first birthday, your grandparents have
Q57: Martin wants to provide money in his
Q58: What is the present value (PV) of
Q59: Dan buys a property for $210,000. He
Q60: Consider the following timeline detailing a stream
Q61: How long will it take $50,000 placed