please explain

Which of the following investments that pay will $8,000 in 14 years will have a lower price today? The security that eams an interest rate of 12.75% The security that earns an interest rate of 8.50% Explanation Eric wants to invest in government securities that promise to pay $1,000 at maturity. The opportunity cost interest rate) of holding the security is 9.60%. Assuming that both investments have equal risk and Eric's investment time horizon is flexible, which of the following investment options will exhibit the lower price? An investment that matures in 11 years An investment that matures in 10 years Explanation Open