Harmon Industries is considering adding a new store. As a final step in reviewing the proposed project, the CFO wants to take into account two real options that are attached to the proposed project. First, there is a timing option. One year from now, the company will have a much better idea of whether the county will raise or lower its property taxes. The firm might want to wait a year to decide whether it makes sense to proceed with their proposed project because the county taxes could significantly affect the project's cash flows. Second, there is an abandonment option. After two years, the company will have the option to shut down the store if it is determined that the store is losing money and will continue to lose money. Which of the following statements is most correct