Golf Smith is a professional golfer who has just signed a $3 million contract. The terms are five annual payments of $600,000 each. Determine the present value of the contract to Mr. Smith, assuming his interest rate is 8%.

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Golf Smith is a professional golfer who has just signed a $3 million contract. The terms are five annual payments of $600,000 each. Determine the present value of the contract to Mr. Smith, assuming his interest rate is 8%. Golf Smith is a professional golfer who has just signed a $3 million contract. The terms are five annual payments of $600,000 each. Determine the present value of the contract to Mr. Smith, assuming his interest rate is 8%.