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A famous quarterback just signed a $36 MM contract providing $6 MM per year for 6 years. A less famous receiver signed a $33 MM,
A famous quarterback just signed a $36 MM contract providing $6 MM per year for 6 years. A less famous receiver signed a $33 MM, 6-year contract providing $21.0 MM now and $2,000,000 a year for 6 years. If interest rates are 6%, who is better paid on a PV basis and by how much? Show your work to get partial credityour answer must show by how much the better paid player is getting.
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