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What is the pv of the quarterback contract

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A famous quarterback just signed a contract for $16.5 million, providing $3.3 million a year for 5 years. A less famous receiver signed a contract for $15.5 million, providing $4 million now and $2.3 million a year for 5 years. The interest rate is 10%.

a. What is the PV of the quarterback's contract?

b. What is the PV of the receiver's contract?

c. Who is better paid?

Reference no: EM132352348

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