Investment Timing Option: Decision-Tree Analysis $20 million. Kim expects the hotel will produce positive cash flows of $3 million a year at the end of each of the next 20 years project's cost of capital is 12%. a. What is the project's net present value? Do not round intermediate calculations. Enter your answer in milions. For example, an answe of $1.23 million should be entered as 1.23, not 1,230,000. Round your answer to two decimal places. $ million depending on whether the Korean government imposes a large hotel tax. One year from now, Kim will know whether the tax whe imposed. There is a 50% chance that the tax will be imposed, in which case the yearly cash flows will be on $2 million. same time, there is a 50% chance that the tax will not be imposed, in which case the yearly cash flows will be $3.8 million. Kim is deciding whether to proceed with the hotel today or to wait a year to find out whether the tax will be imposed. If initial investment will remain at $20 million. Assume that all cash flows are discounted at 12%. Use decision-tree analysis to determine whether Kim should proceed with the project today or wait a year before decing. Check My Work (10 remaining)