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A basketball team, in an effort to solve the salary cap problem has offered a player a contract of $1 million dollars a year for

  1. A basketball team, in an effort to solve the salary cap problem has offered a player a contract of $1 million dollars a year for the next season with the payments growing at 7% per year for the next 25 years. The player believes the appropriate discount rate for such payments is 13%. What is the value today of taking the contract?also sove this in excel too.

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