As a financial analyst at CPW International you are evaluating an option to purchase an equipment to expand the product line for the company. There are two machines meeting the company's investment criteria. Machine Hand Machine L Machine H costs more than Machine L but has the flexibility to be modified if the demand for product is low while machine L cannot be modified. The following is the financial information about these two machines. The project with Machine L is worth $10 million today and will be $15 million one year from today with high demand and $8 million with low demand. Machine H can be modified and sold off for $12.5 million if the demand is low. (Assume 8% of interest rate) Please answer the following questions: a. Is the real option to abandon a put option or call option? b. How much is the value real option to abandon