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In 2021, a baseball player signed a contract worth $65.6 million. The contract called for $12 million immediately and a salary of $3.4 million in
In 2021, a baseball player signed a contract worth $65.6 million. The contract called for $12 million immediately and a salary of $3.4 million in 2022, $9.3 million in 2023, $12 million in 2024, $9.3 million in 2025 and 2026, and $10.3 million in 2027. If the appropriate interest rate is 9 percent, what kind of deal did the player dig out of the dirt? Assume all payments other than the first $12 million are paid at the end of the contract year
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