You find an investment that will pay $10,000 per year forever. Your friend finds one that will pay $10,000 per year for 50 years. Both investments have a rate of return of 8%, How much more is your investment worth?

a) $2,608

b) $2,665

c) $125,000

d) They are worth about the same because 50 years is a very long time

e) Can't be determined because you can't calculate FV of perpetuity