Question: John recently signed a contract: receiving 100,000 every YEAR for the following 5 years. Then, receive 150,000 per YEAR for the next following 5 years.

John recently signed a contract: receiving 100,000 every YEAR for the following 5 years. Then, receive 150,000 per YEAR for the next following 5 years. How much is the contract worth in today's dollars, assuming an annual discount rate of 5.5%?

approx. 917,130

approx. 425,110

approx. 824,250

approx. 685,230

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