1 tool
Calculates the present value of cash flows assuming they continue indefinitely, utilizing both basic and growing perpetuity formulas. Users input variables such as the initial cash flow, discount rate, and expected growth rate to determine the theoretical worth of an infinite stream of payments. The tool provides instant results demonstrating how fluctuations in these core inputs—specifically changes to the discount rate or growth rate—significantly impact the final calculated perpetuity value. Financial analysts, students studying valuation methods, and investors seeking to model long-term asset cash flows utilize this resource. It helps users estimate the terminal value of assets or investments where cash distributions are expected to continue into the distant future.
