XYZ Manufacturing decides to build a new plant. The plant will cost $20 million today and is expected to have a useful life of 20 years. At the end of year 5, 10 and 15, there will be major renovation expenses of $K each time. The plant will produce level returns of $2.5 million at the end of each year for the rst 10 years and $5 million at the end of each year for the second 10 years. Find the maximum value of K that XYZ could pay so that the internal rate of return on its investment is at least 12%. (Round your answer to integer)

ANS 3005010 Show all works, and please calculate it with math formula instead of financial calculator!! Thank you!