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Deferred payments can be incredibly advantageous for teams, particularly during negotiations for high-profile players. An example that illustrates this is when a team offers a player a substantial signing bonus, like $52 million. From a financial perspective, when calculating the Net Present Value (PV), deferrals enable teams to manage their finances better while still attracting top-tier talent. Despite the sums involved, teams can structure contracts in such a way that balances immediate costs with long-term investments, which is crucial for maintaining competitive rosters.