What is the PV of a perpetuity paying $6 each month, beginning next month, if the monthly interest rate is a constant 10% / year?  What about if it had an effective interest rate?

Financial Accounting Intro Concepts Meth/Uses
14th Edition
ISBN:9781285595047
Author:Weil
Publisher:Weil
ChapterA: Appendix - Time Value Of Cash Flows: Compound Interest Concepts And Applications
Section: Chapter Questions
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  • What is the PV of a perpetuity paying $6 each month, beginning next month, if the monthly interest rate is a constant 10% / year? 

What about if it had an effective interest rate?

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