Each Section should be completed in a separate spreadsheet tab and all calculations should be performed using Excel formulas:

One of your friends from high school played Division 1 baseball in college and has been recruited by both the Baltimore Orioles and the Washington Nationals. The Orioles have offered him a 7-year contract making a flat amount of $650,000 per year, with the annual payments made at the end of each year. The Nationals have generously offered to make him one, up-front payment of $4,000,000 for a 7-year contract. Assuming a 4.5% discount rate (and ignoring any taxes), if your friend makes his decision solely on the basis of value (including considering the time value of money), which option should he choose? Show all supporting calculations.