Question: Answer the following question quickly, showing all work accordingly on all sections. In the answer, please round to the nearest dollar. Thank you. he could

Answer the following question quickly, showing all work accordingly on all sections. In the answer, please round to the nearest dollar. Thank you.

Answer the following question quickly, showing all work accordingly on all sections.

he could earn $8.3 million per year (paid at the end of the year) speaking instead of writing. Assume his cost of capital is 10.3% per year. a. What is the NPV of agreeing to write the book (ignoring any royalty payments)? perpetuity. What is the NPV of the book with the royalty payments

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