10. Problem 5.20 (PV of a Cash Flowstream) eBook A rookie quarterback is negotiating his first NFL contract. His opportunity cost is 6% He has been offered three possible 4-year contracts. Payments are guaranteed, and they would be made at the end of each year. Terms of each contract are as follows Contract 1 $3,000,000 $3,000,000 $3,000,000 $3,000,000 Contract 2 $2,500,000 $3,500,000 $4,000,000 $5,500,000 Contract 3 $6,000,000 $1,000,000 $1,000,000 $1,000,000 As his adviser, which contract would you recommend that he accept? Select the correct answer O a Contract 2 gives the quarterback the highest present value; therefore, he should accept Contract 2 O Contract 1 gives the quarterback the highest future value therefore, he should accept Contract 1 O e Contract 1 gives the quarterback the highest present value therefore, he should accept Contract 1 Od Contract gives the quarterback the highest sture value therefore, he should accept Contract 3. O Contract gives the quarterback the highest present value therefore, he should accept Contract