The -years professional football league contract begins with a salary of
per year.
The contract is over a period of years.
Consider the choice 1:
\A bonus of each year.
Total salary of the professional football league is .
For over years, the total salary is
.
Consider the choice 2:
\An annual increase of per year beginning after
year.
The sequence is a geometric sequence.
\The first term of the sequence is .
Therefore, common ratio is
Find the sum of increments over a period of -year.
Formula for sum of terms in the geometric sequence is
.
Increment in years in
.
Total income: .
For over years, the total salary is
.
Consider the choice 3:
\An annual increase of per year beginning after
year.
The sequence is a arithmetic sequence.
\Find the sum of terms in the sequence.
Formula for sum of terms in the arithmetic sequence is
where
.
Substitute ,
and
.
For over years, the total salary is
.
Observe the salaries of the three choices.
\Choice 2 provides more money when compared to others.
\Choice 1 provides least when compared to others.
\Hence, choice 2 is the best method.
\Choice 1:
\For over years, the total salary is
.
Choice 2:
\For over years, the total salary is
.
Choice 3:
\For over years, the total salary is
.
Choice 2 provides more money when compared to others.
\Choice 1 provides least when compared to others.
\Choice 2 is the best method.