INVESTMENT TIMING OPTION All American Telephones Inc. is considering the production of a new cell phone. The project will require an after$-$tax investment of $$13$ million. If the phone is well received, the project will produce after$-$tax cash flows of $$8$ million a year for $3$ years, but if the market does not like the product, the after$-$tax cash flows will be only $$2$ million per year. There is a $50\%$ probability of both good and bad market conditions. All American can delay the project a year while it conducts a test to determine whether demand will be strong or weak. The delay will not affect the dollar amounts involved for the project$$s after$-$tax investment or its after$-$tax cash flows$$only their timing. Because of the anticipated shifts in technology, the

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$-$year delay means that after$-$tax cash flows will continue only $2$ years after the initial investment is made. All American$$s WACC is $8\%.$ What action do you recommend?