Which of the following is typically a fixed claim?

a stock

an option

a bond

cash

Where does a company's cash appear on its balance sheet?

operations

short term assets

equity

liabilities

Holding the annual cash flow and interest rate constant across all these options, which has the lowest present value? Assume the cash flow and interest rate are both positive numbers.

An ordinary T-period annuity

A T-period annuity due

A perpetuity whose first payment is two years from today

perpetuity whose first payment is today