5. Future value of annuities Aa Aa There are two categories of cash flows: single cash flows, referred to as "lump sums," and annuities. Based on your understanding of annuities, answer the following questions. Which of the following statements about annuities are true? Check all that apply. X A perpetuity is a constant, infinite stream of equal cash flows that can be thought of as an infinite annuity. An annuity due earns more interest than an ordinary annuity of equal time. Ordinary annuities make fixed payments at the end of each period for a certain time period. An annuity due is an annuity that makes a payment at the end of each period for a certain time period. Which of the following is an example of an annuity? 0 A job contract that pays an hourly wage based on the work done on a particular day A job contract that pays a regular monthly salary for three years