I had the exact scenario. It's a bad power supply. Knowing I was covered by the original hardware warrany, I lived with the metallic electric smell for a few days. After a few days, the iMac wouldn't come on at all. It's a common problem and your iMac is still protected by the manufacturer's warrantly.
You can wait until it dies (soon) and use the time to back up your data, or you can send it to Apple for repair. Taking it to an Applestore would be the fastest and cheapest way to get the repair done. They had parts on hand for mine and it took 3-5 days to get it back. The repair is pretty simple and they won't question your diagnosis. There's a very low risk that your HD data would be lost. When it boots for the Geniuses, just let them smell the top exhaust slit. They'll know what you're talking about.
Back it up and get it fixed before November! 🙂 Even if it hasn't completely died.