Which of the following are true regarding perpetuities Select all correct answers a the formula for a growing perpetuity is PV PMT (r g) b payments last forever c one cannot calculate a FV for a perpetuity d a standard car loan is a perpetuity e The PV of a perpetuity with a $1,000 payment is $20,000 assuming a 5 interest rate

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Which of the following are true regarding perpetuities? Select all correct answers. a the formula for a growing perpetuity is PV= PMT/(r+g) b payments last

Which of the following are true regarding perpetuities? Select all correct answers.

a	the formula for a growing perpetuity is PV= PMT/(r+g)
b	payments last forever
c	one cannot calculate a FV for a perpetuity
d	a standard car loan is a perpetuity
e	The PV of a perpetuity with a $1,000 payment is $20,000 assuming a 5% interest rate.

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