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What is the present value of a perpetual stream of cash flows that pays 

label Accounting
account_circle Unassigned
schedule 0 Hours
account_balance_wallet $5

What is the present value of a perpetual stream of cash flows that pays

$40,000

at the end of year one and then grows at a rate of

5% 

per year indefinitely? The rate of interest used to discount the cash flows is 

12%.
Feb 12th, 2015

333,333.33

Feb 12th, 2015

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Feb 12th, 2015
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Feb 12th, 2015
Jun 28th, 2017
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