Question: A creativo general manager has offered two different contracts to a valn quarterback. The contracts are shown below: CONTACTA CONTRACT B YEAR SALARY YEAR SALARY

 A creativo general manager has offered two different contracts to a

A creativo general manager has offered two different contracts to a valn quarterback. The contracts are shown below: CONTACTA CONTRACT B YEAR SALARY YEAR SALARY $524,400.00 $307,775.00 $524,400.00 $307,775.00 $524,400.00 $814,700.00 0 0 1 1 2 2 3 3 $814,700.00 $524,400.00 $524,400.00 4 $814,700.00 The newspapers report the total dollars of the contract, so contract A will pay a total of $2,622,000.00, while contract B will pay $3,059,650.00. The player will select contract B as it has more publicity. The team can earn 7.00% on their Investments, so let's determine the value of each contract What is the present value of contract B? Submit Answer format: Currency: Round to: 2 decimal places. 21 You are considering two home security companies for your new house. The first company offers free installation and equipment, but will charge you 5461.00 per year for the next five years. The second company charges $748,00 for Installation, but will charge you $228.00 per year for the next five years. Assume that payments are at the END of the year. Your personal Interest rate is 5.00% What is the PV of the free Installation option? (express as a negative..) Submit

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!