On January 1, 2019, Luring, Inc., issues $2,000,000 of 10 percent, 5-year bonds that pay interest of $100,000 semiannually. The market rate is 12 percent at the time of issuance. The present value of 1 at 6% for 10 periods is 0.5584. The present value of an annuity at 6% for 10 periods is 7.3601. The issue price of the bonds is _____.