Which one of the following statements related to annuities and perpetuities is correct?

is

Multiple Choice

Book

rint

An ordinary annuity is worth more than an annuity due given equal annual cash flows for $10$ years at $7$ percent interest compounded annually.

rences

A perpetuity comprised of $$100$ monthly payments is worth more than an annuity of $$100$ monthly payments provided the discount rates are equal.

Most loans are a form of a perpetuity.

The present value of a perpetuity cannot be computed but the future value can.

Perpetuities are finite but annuities are not.