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Payment if it is divided with interest rate will be formula...

This question belongs to Commerce Financial Management
Financial Management
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Payment if it is divided with interest rate will be formula of

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Correct Answer: Option B
Payment if it is divided with interest rate will be formula of present value of perpetuity. A perpetuity is a type of annuity that receives an infinite amount of periodic payments. An annuity is a financial instrument that pays consistent periodic payments. As with any annuity, the perpetuity value formula sums the present value of future cash flows.
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