Perpetuity factor: Difference between revisions
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imported>Doug Williamson m (Added space before see also) |
imported>P.F.cowdell@shu.ac.uk m (Categorise the page) |
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* [[Perpetuity]] | * [[Perpetuity]] | ||
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Revision as of 19:51, 17 August 2014
The fraction 1/r used when evaluating a fixed perpetuity. Using this simple formula assumes a constant periodic cost of capital (r) for all periods from now to infinity.
Sometimes known as the Perpetuity formula.
