You Are Comparing Two Investment Options That Each Pay 5

You are comparing two investment options that each pay 5 percent interest,compounded annually.Both options will provide you with $12,000 of income.Option A pays three annual payments starting with $2,000 the first year followed by two annual payments of $5,000 each.Option B pays three annual payments of $4,000 each.Which one of the following statements is correct given these two investment options?

A) Both options are of equal value given that they both provide $12,000 of income.
B) Option A has the higher future value at the end of year three.
C) Option B has a higher present value at time zero than does option A.
D) Option B is a perpetuity.
E) Option A is an annuity.