Nigel Rankin purchased a nonqualified individual annuity from the Strider Insurance Company. Mr. Rankin will begin receiving monthly annuity payments 10 years from the date of purchase, and he is scheduled to receive annuity payments for 15 years. One true statement about this situation is that the annuity is an immediate annuity the annuity has an accumulation period of 15 years Mr. Rankin can deduct the premiums he pays for the annuity from his taxable income the investment returns that add to the annuity's accumulated value are not taxable as long as Strider holds the funds