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In 1930, the highest paid player in major league baseball was Babe Ruth of the New York Yankees, ...

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In 1930, the highest paid player in major league baseball was Babe Ruth of the New York Yankees, ...

In 1930, the highest paid player in major league baseball was Babe Ruth of the New York Yankees, with an annual salary of $80,000. In 2005, the highest paid player in major league baseball player was Alex Rodriguez, also of the New York Yankees, with a salary of $25,000,000. What was the average annual rate of growth in the top baseball salary over this time period?
A) 18.70%
B) 7.96%
C) 3.31%
D) 4.17%

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Financial Management: Core Concepts

Edition: 2^nd

Author: Brooks

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