Is it really a 'half-billion dollar deal? As reported on spotrac.com, Patrick Mahomes signed a 10-year, $450,000,000 contract with the Kansas City Chiefs in July 2020, with an average annual salary of $45,000,000. a) How much was this contract worth in July 2020? Assume that his interest rate is 5% per year, and he is paid annually in July (i.e., an annual, not monthly, paycheck). b) For years 2022 through 2031, what is the annual equivalent of this contract? Year 2020 Base salary Signing bonus Roster bonus Workout bonus -- 2021 2022 $1,500,000 $2,000,000 $27,400,000 $550,000 2023 $5,500,000 $2,000,000 $34,400,000 $550,000 2024 2025 2026 $2,500,000 $2,500,000 $2,500,000 $2,000,000 $34,900,000 $550,000 $38,900,000 $550,000 $38,900,000 $550,000 2027 $10,000,000 $49,400,000 $550,000 2028 $13,000,000 $30,900,000 $550,000 2029 $20,500,000 2030 $27,000,000 - $23,900,000 $550,000 - $22,900,000 $550,000 2031 $38,000,000 $13,900,000 $550,000