the.com/perpetuity
forever, but with a payment schedule.
means a stream of equal payments that continues without end, the financial world's way of pricing infinity.
from from latin perpetuus, meaning continuous — british consols, government bonds issued starting 1751 with no maturity date, were the classic real-world example investors actually traded.
math trickvalue equals payment divided by interest rate
real exampleuk consols paid interest for centuries
growing versiongordon growth model prices stocks this way