The annual rate of return is variously refined to as the discount rate. opportunity cost. cost of capital all of the above. You are considering two equally risky annuitles. each of which pays $2,000 per year for 10 years Investment ORD is an ordinary (or deferred) annuity, while investment DUE is an annuity due. Which of the following statements is CORRECT? The present value of ORD must exceed the present value of DUE. but the future value of ORD may he less than the future value of DUE. The present value of DUE exceeds the present value of ORD. while the future value o(DUE is lets than the future value of ORD. The present value of ORD exceeds the present value of DUE. and the future value of ORD also exceeds the future value of DUE. The present value of DUE exceeds the present value of(ORD), and the future value of DUE also exceeds the future value of ORD. You have the opportunity to buy a perpetuity which pays $1, 200 annually Your required rate of return on this investment is 8 percent What it the present value of this perpetuity? $1500,000 $12,000.00. $10,000.00 $8, 500.00 $6, 250.00