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katrin2010 [14]
3 years ago
5

Your firm is looking at setting up a new manufacturing plant in South Park to produce garden tools. The company bought some land

six years ago for $4.6 million in anticipation of using it as a warehouse and distribution site, but the company has since decided to rent these facilities from a competitor instead. If the land were sold today, the company would net $5.4 million. The company wants to build its new manufacturing plant on this land; the plant will cost $11.2 million to build, and the site requires $713,900 worth of grading before it is suitable for construction. What is the proper cash flow amount to use as the initial investment in fixed assets when evaluating this project
Business
1 answer:
Serga [27]3 years ago
7 0

Answer:

the proper cash flow amount is -$17,313,900

Explanation:

The computation of the proper cash flow amount is given below:

= Land value + plant cost + grading cost

= -$5,400,000 - $11,200,000 - $713,900

= -$17,313,900

Hence, the proper cash flow amount is -$17,313,900

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AlexFokin [52]

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<h3>What are Adjusting entries ?</h3>

Adjusting entries  can be regarded as the changes to journal entries that has been already recorded.

However, adjusting entry to recognize supplies expense decreases the Supplies account balance as a result of the already recorded transaction.

Learn more about Adjusting entries  at;

brainly.com/question/13933471

8 0
2 years ago
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8_murik_8 [283]

Answer:

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Explanation:

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3 years ago
____ an business that is able to raise capital by selling shares on the stock market​
Elina [12.6K]

Answer:

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4 0
3 years ago
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<h3>Answer: $172.8</h3>

That's correct :)

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