A philanthropist has established the following endowment, in three parts. The details are:

1. A cash deposit of $2 million two years from now.
2. An annual cash deposit of $ 300,000 per year for the next 11 years. The 1^st payment will be made today.
3. At the end of year 5, a lump sum payment of $ 1,200,000 will be received.

Assuming the opportunity cost is 5%, what is the value of this endowment and its three Components in todays dollars? There are 4 answers a,b,c & total.