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7) Anthony Davis is offered a choice of the following three contracts: a) $41.0 million per year for the next four years, payable at the
7) Anthony Davis is offered a choice of the following three contracts: a) $41.0 million per year for the next four years, payable at the beginning of each year b) $45.0 million per year for the next four years, payable at the end of each year c) A single lump sum payment of $146 million (that will represent his pay for the next four years), payable at the beginning of the first year If i = .085, determine which contract is the most valuable in terms of present value at the beginning of the first year
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