Question
In January 2012, the Texas Rangers signed Yu Darvish, formerly of the Nippon-Ham Fighters, to a contract reportedly worth $60.8 million. Yu's salary (including roster
In January 2012, the Texas Rangers signed Yu Darvish, formerly of the Nippon-Ham Fighters, to a contract reportedly worth $60.8 million. Yu's salary (including roster bonus) was to be paid as $6.3 million in 2012, $10.3 million in 2013, $10.8 million in 2014 to 2016, and $11.8 million in 2017. If the appropriate interest rate is 11 percent, what kind of deal did the pitcher snag? Assume all payments are paid at the end of each year.
In January 2012, the Texas Rangers signed Yu Darvish, formerly of the Nippon-Ham Fighters, to a contract reportedly worth $60.8 million. Yu's salary (including roster bonus) was to be paid as $6.3 million in 2012, $10.3 million in 2013, $10.8 million in 2014 to 2016, and $11.8 million in 2017. If the appropriate interest rate is 11 percent, what kind of deal did the pitcher snag? Assume all payments are paid at the end of each year.
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Management Science The Art Of Modeling With Spreadsheets
Authors: Stephen G. Powell, Kenneth R. Baker
3rd Edition
0470530677, 978-0470530672
