B.2.5 Varying Annuities – Geometric – Part 2

Question 1

eqn for PV of geometric annuity immediate if r = i?

Answer 1

(Ga) angle n r r = n*v

Question 2

what is the formula for the PV of a geometric perpetuity immediate?

Answer 2

(Ga) angle infinity i r = 1/(i - r) if r < i and undefined with r is greater than or equal to i