You own a one-year European call option to buy one acre of Los Angeles real estate. The exercise price is $2.15 million, and the current, appraised market value of the land is $1.85 million. The land is currently used as a parking lot, generating just enough money to cover real estate taxes. The annual standard deviation is 18% and the interest rate is 12%. How much is your call worth? Use the BlackScholes formula. (Enter your answer in dollars not in millions. Do not round intermediate calculations.)

Call Value: