You have just been offered a contract worth $1.07 million per year for 5 years. However, to take the contract, you will need to purchase some new equipment. Your discount rate for this project is 11.8%. You are still negotiating the purchase price of the equipment. What is the most you can pay for the equipment and still have a positive NPV?

The most you can pay for the equipment and achieve the 11.8% annual return is $______