Question
The star basketball player from your college signed a contract with Telcics. Under this contract he will be paid $1,150,000 at the end of each
The star basketball player from your college signed a contract with Telcics. Under this contract he will be paid $1,150,000 at the end of each year for the following four years. He can earn 12 percent annual rate on all investments. What is the present value of this contract?
| A. | $ 3,189,217 | |
| B. | $ 3,037,349 | |
| C. | $ 3,644,819 | |
| D. | $ 3,341,084 | |
| E. | $ 3,492,952 | |
| F. | $ 3,568,885 |
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Personal Finance Building Your Future
Authors: Robert Walker, Kristy Walker
2nd Edition
0077861728, 9780077861728
