A company takes out a loan of 15,000,000 at an annual effective discount rate of 4.5%. You are given:

i) The loan is to be repaid with n annual payments of 1,200,000 plus a drop payment one year after the nth payment.

ii) The first payment is due three years after the loan is taken out.

Calculate the amount of the drop payment.

** please show work! (Not a chart) thanks!