Skip to content. The ALT text used on graphical equations is similar to, but not exactly like Math Speak; a few conventions are borrowed. Exponents are read as supe followed by the exponent then base to signify terms representing the exponent have ended. Subscrpts are read as sub followed be the subscript, then base. Parenthesis are read in line as they occur: left parens opens the parenthetical and right parens closes it. Square brackets are read as left bracket then right bracket. Fractions are always read as numerator followed by denominator. One half would be numerator one denominator two.

## Different Types of TVOM

### Growing Annuity

For example, an investment company just issued a security which will provide 10 payments, starting next year for $100 and increasing 5% per year after that. How much is this security worth if the appropriate required return is 10%? The cash flows for the next ten years are as follows:

where:

- PVGA = present value of growing annuity
- C
_{1}= $100 - r = .10
- g = .05