growing perpetuity (alternating years)

elsantd

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Nov 15, 2016
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I know the formula is C/(r-g), but I have a problem where I need to get the PV of this... depositing $13,000 in two years, and thereafter payments every two years. Each payment is 10% higher than the previous payment. (interest rate was 15%)...

How do you do the perpetuity when the years are altenating?

Thanks!
 
I know the formula is C/(r-g),...
For what is this "the formula"? Where is the rest of this "formula" (the "equals" sign, and whatever is on the other side of the "equals" sign)? For what do "C", "r", and "g" stand?

...but I have a problem where I need to get the PV of this...
Does "PV" stand for "present value"?

depositing $13,000 in two years, and thereafter payments every two years. Each payment is 10% higher than the previous payment. (interest rate was 15%)...How do you do the perpetuity when the years are altenating?
By "perpetuity", are you referring to a particular type of annuity, such as is outlined here? What formulas have they given you for this sort of thing?

Thank you! ;)
 
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