Which of the following are characteristics of a perpetuity?

The value of a perpetuity cannot be determined.

A perpetuity is a stream of regularly timed, equal cash flows that continues forever.

The current value of a perpetuity is based more on the discounted value of its nearer (in time) cash flows and less by the discounted value of its more distant (in the future) cash flows.

A perpetuity is a stream of unequal cash flows.

A local banks advertising reads: Give us $50,000 today, and well pay you $800 every year forever. If you plan to live forever, what annual interest rate will you earn on your deposit?

A. 1.44%

B. 2.24%

C. 1.60%

D.1.92%

Oops! When you went in to make your deposit, the bank representative said the amount of required deposit reported in the advertisement was incorrect and should have read $75,000. This revision, which will -reduce/increase- the interest rate earned on your deposited funds, will adjust your earned interest rate to .______