Investment Timing Option: Option Analysis will produce positive cash flows of $3 million a year at the end of each of the next 20 years, The project's cost of capitat is 13%. Kim expects the cash flows to be $3 million a year, but it recognizes that the cash flows could actually be much higher or lower, depending on whether the Korean malion. Kirn is deciding whether to proceed with the hotel todoy or to wait a year to find out whether the tax wil be imposed. If Kam waits a vear, the initial invitnont will remain at 520 millon. Assume that all cash flows are descourited at 13%. Use the Block Scholes model to estimate the valise of thir option, Assume that the variance of then mallion should be entered as 1.234, noc 1,234,000. Round your answer to three decimal places. Uhe compiter saftware pockages, wach as Minitab or Excel, to solve this problem. s