Xavier is a baseball player negotiating a contract to play for a team for one year. He is usually paid $10 million a year for playing, but the salary caps for his team means that he will have to be paid $5 million this year and the remainder next year. If the interest rate is 8 percent, how much should that remaining amount be next year?

A. $5.0 million

B. $5.1 million

C. $5.4 million

D. $6.1 million


C. $5.4 million

Economics

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Audit studies suggest that there may be stark differences in the opportunities available to minorities and women, yet regression analyses suggest that people of every color and gender earn what they can expect to earn, given their characteristics

Indicate whether the statement is true or false

Economics

Policy that tries to influence target variables by changing the interest rate is called

A) fiscal policy. B) interest rate policy. C) recession policy. D) monetary policy.

Economics

With a reserve ratio of 10 percent, the maximum potential money multiplier is

A) 1. B) 5. C) 10. D) 100.

Economics

Evidence from a study of the market for baseball players using 1960s data

a. indicated that sports with strong player associations are unlikely to experience wage discrimination. b. suggested that government regulation had eliminated most evidence of wage discrimination. c. found some evidence of consumer-driven wage discrimination. d. found that measurement of marginal productivity was very difficult for baseball players.

Economics