Bal Clinton reportedy was paid an advance of $10.0 milion to write his book My Lifo. The book look trree years to artite. In the time he spert whiting, Cinton could have been paid to make speecher. Given his popularity, assume that he could eam $7.8 milion a year (paid at the end of the year) speading ratead of wring. Assume his cost of copital is 3.8% per year, a. What is the NPV of agreeing to write the book (gnoring any royaity payments)? b. Aswame that, once the book is finished, is is expected to gontrate royalies of $5.2 milion in the test year (paid at the end of the year) and these roy ates are expected to docreate at a rais of 39% per year in perpetuity. What is the NeV of the book with the royaty pwyments