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Part II: Conference Realignment (1 question x 25 points = 25 1 points) 2.) Let's assume that the University of Nebraska's move from the BIG-12

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Part II: Conference Realignment (1 question x 25 points = 25 1 points) 2.) Let's assume that the University of Nebraska's move from the BIG-12 to the BIG-10 cost them an up-front buyout of $40M in 2010 (year 0), but came with an increase from $20M to $25M in media revenues starting in 2011 when they officially joined the conference. Let's also assume that Nebraska's travel costs spiked from $4M per year to $6M. (r = 5%). Assuming the BIG-10 agreed to subsidize Nebraska's increase in travel costs for the first 5 years, what would be the NPV of 15 years of added revenues from the move? Would the move be worthwhile

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