Attempts Keep the Highest $/3$

$16.$ Application of Time Value of Money Skills

Nick Nohitter has been playing baseball since he was five years old and has always dreamed of playing in the big leagues. Last he was a starting pitcher for a double$-$A $($AA$)-$level baseball team, the Yakima Hops; last year, he was the first runner$-$up for the Minor League Player of the Year $-$ award. Using his $99mph$ fastball, an impeccable curve ball and,slider, and a reliable changeup pitch, he achieved a $18-2$ win$-$loss record, an earned run average $($ERA$)$ of $2\mathrm{.}23,$ and $166$ strikeouts in $147\mathrm{.}2$ innings pitched. He is also your best friend.

Two weeks aga, on his three$-$year anniversary with the team, Nick received the following email from his agent, George Get$-$d'Bucks, indicating that he is being called up to the Boston Back Bay Boys, the Hops's corresponding Major League Baseball $($MLB$)$ team. Moreover, Nick's contract is being revised to reflect his new status. The email describes the general terms and conditions of Nick's revised contract.