Which of the following statements is most correct? The first payment under a 3-year, annual payment, amortized lone for $1,000 will include a smaller percentage (or fraction) of interest if the interest rate is 5 percent then if it is 10 percent. If you are lending money, then, based on effective interest rates, you should prefer to lend at a 10 percent simple, or quoted, rate but with semiannual payments, rather than at a 10.1 percent simple rate with annual payments. However, as a borrower you should prefer the annual payment lone. The value of a perpetuity(say for $1000 per year) will approach infinity as the interest rate used to evaluate the perpetuity approach zero. Statements a, b, and c are all true. only statement b and c are true