An annuity in which the periodic payment begin on a fixed date and continue forever is called

Perpetuity

The correct answer is Option (2) → Perpetuity

(A) Sinking Fund

This is used to accumulate a future amount, not a never-ending annuity.

False

(B) Perpetuity

This is an annuity that continues forever.

True

(C) Coupon payment

This refers to periodic interest on bonds, not an annuity continuing forever.

False

(D) Bond

This is a financial instrument, not the name of such an annuity.

False

The correct answer is (B) Perpetuity.