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As a result of a slowdown in operations, Mercantile Stores is offering to employees who have been terminated a severance package of $120,000 cash, another

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As a result of a slowdown in operations, Mercantile Stores is offering to employees who have been terminated a severance package of $120,000 cash, another $120,000 to be paid in one year, and an annuity of $32,000 to be paid each year for 20 years. Use the financial calculator app to compute the present value of the complete package, assuming an interest rate of 8 percent. (Round your final answers to the nearest whole dollar amount.)

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