Question: In 2015, a running back signed a contract worth $55.3 million. The contract called for $10 million immediately and a salary of $2.5 million in

In 2015, a running back signed a contract worth $55.3 million. The contract called for $10 million immediately and a salary of $2.5 million in 2015, $7.5 million in 2016, $10 million in 2017, $8.4 million in 2018 and 2019, and $8.5 million in 2020. If the appropriate interest rate is 7 percent, what kind of deal did the running back scamper off with? Assume all payments other than the first $10 million are paid at the end of the contract year. What is the Present Value?

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