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Assume that a national restaurant firm called BBQ builds 12 new restaurants at a cost $1 million per restaurant. It outfits each restaurant with an
Assume that a national restaurant firm called BBQ builds 12 new restaurants at a cost $1 million per restaurant. It outfits each restaurant with an additional $300,000 of equipment and furnishing. To help partially defray the cost of this expansion, BBQ issues and sells 240,000 shares of stock at $35 per share.
a. What is the amount of economic investment that has resulted from BBQ's actions?
b. How much purely financial investment took place?
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