Perpetuity factor: Difference between revisions
From ACT Wiki
Jump to navigationJump to search
imported>Doug Williamson (Layout) |
imported>Doug Williamson (Add link.) |
||
| (3 intermediate revisions by the same user not shown) | |||
| Line 1: | Line 1: | ||
''Financial maths.'' | |||
(PF). | |||
A perpetuity factor is 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. | Using this simple formula assumes a constant periodic cost of capital (r) for all periods from now to infinity. | ||
| Line 9: | Line 13: | ||
== See also == | == See also == | ||
* [[Annuity factor]] | * [[Annuity factor]] | ||
* [[Discount factor]] | |||
* [[Discounted cash flow]] | |||
* [[Dividend growth model]] | |||
* [[Growing perpetuity factor]] | |||
* [[Perpetuity]] | * [[Perpetuity]] | ||
[[Category:Corporate_finance]] | [[Category:Corporate_finance]] | ||
[[Category:Long_term_funding]] | [[Category:Long_term_funding]] | ||
Latest revision as of 19:55, 30 October 2021
Financial maths.
(PF).
A perpetuity factor is 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.
