Wilson's Antiques is considering a project that has an initial cost today of $10,000. The project has a twoyear life with cash inflows of $6,500 a year. Should Wilson's decide to wait one year to commence this project, the initial cost will increase by 5% and the cash inflows will increase to $7,500 a year. What is the value of the option to wait if the applicable discount rate is 10%? A. $1,006.76 B. $1,235.54 C. $1,509.28 D. $1,606.76 E. $1,735.54

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