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Business, 16.11.2019 00:31 20jacksone

Alocal restaurant owner is considering expanding into another rural area. the expansion project will be financed through a line of credit with city bank. the administrative costs of obtaining the line of credit are $500, and the interest payments are expected to be $1,000 per month. the new restaurant will occupy an existing building that can be rented for $2,500 per month. the incremental cash flows for the new restaurant include a. $500 administrative costs, $1,000 per month interest payments, $2,500 per month rent. b. $2,500 per month rent. c. $500 administrative costs, $2,500 per month rent. d. $1,000 per month interest payments, $2,500 per month rent.

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