A retailer is considering building a large store. If the local economy experiences expansion, the firm expects the store to earn a $2,000,000 profit next year. If the local economy experiences a contraction, the firm expects the store to lose $400,000 next year. Analysts estimate a 30% chance for the local economy to experience an expansion next year (hence a 70% chance for contraction). What is the expected monetary value (EMV) of building the large store?

Select one:

A. $80,000

B. $1,520,000

C. $2,000,000

D. $320,000

E. $880,000