Business, 11.03.2020 00:04 candymorgan81

Kenny, Inc., is looking at setting up a new manufacturing plant in South Park. The company bought some land six years ago for $7.8 million in anticipation of using it as a warehouse and distribution site, but the company has since decided to rent facilities elsewhere. The land would net $10.6 million if it were sold today. The company now wants to build its new manufacturing plant on this land; the plant will cost $21.8 million to build, and the site requires $930,000 worth of grading before it is suitable for construction.

Required:

What is the proper cash flow amount to use as the initial investment in fixed assets when evaluating this project?

Answers: 2

Show answers

Other questions on the subject: Business

Business, 21.06.2019 21:30, cesar566

In its 2016 annual report, caterpillar inc. reported the following (in millions): 2016 2015 sales $38,537 $47,011 cost of goods sold 28,309 33,546 as a percentage of sales, did caterpillar's gross profit increase or decrease during 2016? select one: a. gross profit increased from 26.8% to 28.6% b. gross profit decreased from 28.6% to 26.5% c. gross profit increased from 71.4% to 73.2% d. gross profit decreased from 73.2% to 71.4% e. there is not enough information to answer the question.

Answers: 2

continue

Business, 22.06.2019 07:00, glizbethh00

What is the state tax rate for a resident of arizona whose annual taxable income is $18,000?

Answers: 1

continue

Business, 22.06.2019 09:00, flore7488

Your grandmother told you a dollar doesn't go as far as it used to. she says the purchasing power of a dollar is much lesser than it used to be. explain what she means. try and use and explain terms like inflation and deflation in your answer.

Answers: 1

continue

Business, 22.06.2019 17:00, Ididntwanttomakethis

Aaron corporation, which has only one product, has provided the following data concerning its most recent month of operations: selling price $ 102 units in beginning inventory 0 units produced 4,900 units sold 4,260 units in ending inventory 640 variable costs per unit: direct materials $ 20 direct labor $ 41 variable manufacturing overhead $ 5 variable selling and administrative expense $ 4 fixed costs: fixed manufacturing overhead $ 64,200 fixed selling and administrative expense $ 2,900 the total contribution margin for the month under variable costing is:

Answers: 2

continue

You know the right answer?

Kenny, Inc., is looking at setting up a new manufacturing plant in South Park. The company bought so...