Question
In: Finance
Former Pittsburgh Steelers star running back elected to sit out the 2018 season and forfeit his...
Former Pittsburgh Steelers star running back elected to sit out the
2018 season and forfeit his $15 million pay. He hopes to get $20
million in free agency for a new 3 year contract, and then retire.
Assume the discount rate on auch contracts is 10%. Was this a wise
decision? Explain your reasoning.
On March 13, 2019, Bell agreed to a 4 year contract with the
Jets. The amount was $52.5 million of which $35 million was
guaranteed. How does this change your answer?
Has
to do with present value.
Solutions
jeff jeffy answered 3 months agoRelated Solutions
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