UU Wyoming Mining Co. (WMC) paid $200 million for the right to explore and extract rare metals from land owned by the state of Wyoming, To obtain the rights, WMC agreed to restore the land to a suitable condition for other uses after its exploration and extraction activities. WMC incurred exploration and development costs of $60 million on the project WMC has a credit-adjusted risk free interest rate is 8%. It estimates the possible cash flows for restoring the land, three years after its extraction activities begin, as follows: (PV of $1. PVA of $1) (Use appropriate factor(s) from the tables provided.) Cash Outflow Probability $20 million 60% $ 60 million 40% The asset retirement obligation (rounded) that should be recognized by WMC at the beginning of the extraction activities is: Multiple Choice $22.1 million $32 million Multiple Choice $22,1 million. $32 million $28.6 million $44 million