2. "A football team is considering signing a star quarterback to $7 million per year for a total of 3 years with an initial signing bonus of $2.1 million. (The signing bonus is paid immediately.) The team charges $80 per ticket. How many additional tickets would the team need to sell each year in order for the rate of return on the signing to equal 21.6%? For the cash flow in years 1-3, you can assume that the revenues and expenses occur at the end of each year. You should also assume the team sells the same number of tickets in years 1-3."

7."The initial investment for a project is $128,000. The project will last for 8 years and can be salvaged for $15,360 at the end of 8 years. The annual expenses for the project are $6,700 in year 1 and increase at an annual rate of 6% in each year of the project. Assume the annual revenue remains the same in each of the 8 years. What does the annual revenue need to be in order for the internal rate of return of the project to equal 14.9%? "